The ________ Side of an Options Contract Has the Option

question 54

Multiple Choice

The ________ side of an options contract has the option to exercise,while the ________ side has an obligation to fulfill the contract.

• A) long, long
• B)short,long
• C)long,short
• D)short,short
• E)short,other

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Definitions:

Fixed-price

An agreement where the price of a product or service is set and not subject to change.

Below-market Pricing

A strategy where goods or services are offered at prices lower than the prevailing market rate to attract customers.

Above-market

Refers to prices or wages that exceed the average or standard in the relevant market.