Selling options on stock you already own
A) is illegal under federal law.
B) cannot benefit you financially.
C) is called a covered call strategy.
D) is not a very good idea.

Question

Quizplus · Accepted Answer

Selling options on stock you already own is known as a covered call strategy. This approach can generate income from the premiums received for selling the options, while also providing some downside protection. It is a legitimate and widely used investment strategy.

Selling Options on Stock You Already Own