An agreement that gives the owner the right, but not the obligation, to buy or sell a speciﬁc asset at a speciﬁc price for a set period of time is called a(n) _______________ contract.

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This describes an option contract, as it gives the owner the right, but not the obligation, to buy or sell a specific asset at a specific price for a set period of time. The other options, such as forward, futures, swap, and spot contracts, have different characteristics and obligations.

An Agreement That Gives the Owner the Right, but Not