An "Option" Is

question 28

Multiple Choice

An "option" is:

• A) a contract giving the seller (writer) the right, but not the obligation, to buy or sell a given quantity of an asset at an specified price at some time in the future.
• B) a contract giving the owner (buyer) the right, but not the obligation, to buy or sell a given quantity of an asset at a specified price at some time in the future.
• C) not a derivative, nor a contingent claim, security.
• D) unlike a futures or forward contract.

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Definitions:

Intentional Infliction

The deliberate imposition of hardship or harm upon another person.

Aggression

Behavior intended to harm or injure another being, whether physically, verbally, or psychologically.

Nature-Nurture Question

The ongoing debate in psychology and biology about the relative contributions of genetic inheritance (nature) and environmental factors (nurture) to human development.

Biological

Pertaining to the science of life or living organisms, focusing on their structure, function, growth, origin, evolution, and distribution.