Jeff opted to exercise his August option on August 10 and received $2,500 in exchange for his shares. Jeff must have owned a (an):
A) warrant.
B) American call.
C) American put.
D) European call.

Question

Quizplus · Accepted Answer

Jeff received money in exchange for his shares, indicating he sold them, which aligns with exercising a put option. An American put allows the holder to sell shares at a specified price before or on the expiration date.

Jeff Opted to Exercise His August Option on August 10