Which of the Following Statements Is True About Options

question 55

Multiple Choice

Which of the following statements is true about options?

• A) an option is a financial derivative sold by the option holder to an option write.
• B) the buyer is given a right to buy call. or sell put. a security at an agreed price within a specified period of time
• C) the buyer is given the right, hence the obligation to buy
• D) all of the above

---

Definitions:

Genuineness

The quality of being authentic, sincere, and honest in one's interactions and presence.

Tense/relaxed Continuum

A conceptual scale that describes the varying degrees of tension or relaxation present in an individual, situation, or environment.

Discrimination

Unfair or prejudicial treatment of individuals or groups based on characteristics such as race, gender, age, or sexual orientation.

Oppression

The systemic and pervasive mistreatment of individuals or groups by others who hold more power.