The Holder of a Put Option Has

question 47

Multiple Choice

The holder of a put option has:

• A)the obligation to sell a security for a given price.
• B)the right to buy a security for a given price.
• C)the right to sell a security for a given price.
• D)the obligation to buy a security for a given price.

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Definitions:

Absolute Duty

An unconditional obligation that must be performed regardless of the circumstances.

California Supreme Court

The highest state court in California, responsible for overseeing and ruling on legal and constitutional issues.

Negligent

Involves a failure to take reasonable care to avoid causing injury or loss to another person.

Prizing Right

Valuing ethical correctness or acting in a manner that is morally right.