The right, but not the obligation, to sell an underlying asset at a fixed price within or at a specified price within or at a specified time is a call option.

Question

Quizplus · Accepted Answer

The right, but not the obligation, to sell an underlying asset at a fixed price within or at a specified time is known as a put option, not a call option. A call option gives the holder the right to buy an asset at a fixed price within a specific time period.

The Right, but Not the Obligation, to Sell an Underlying