The Writer (Seller)of a Regular Exchange-Listed Put-Option on a Stock

question 18

Multiple Choice

The writer (seller) of a regular exchange-listed put-option on a stock

• A)has the right to buy 100 shares of the underlying stock at the exercise price.
• B)has the right to sell 100 shares of the underlying stock at the exercise price.
• C)has the obligation to buy 100 shares of the underlying stock at the exercise price.
• D)has the obligation to sell 100 shares of the underlying stock at the exercise price.

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Definitions:

Adam Grant

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