Which One of the Following Statements Correctly Describes Your Situation

question 29

Multiple Choice

Which one of the following statements correctly describes your situation as the holder of a European call option?

• A)You are obligated to buy if the option is exercised.
• B)You have a right to sell.
• C)You have a right to buy but only on the expiration date.
• D)You are obligated to sell if the option is exercised.
• E)You have a right to buy at any time before the option expires.