In options markets,option premiums are paid by:

Name: In options markets,option premiums are paid by:
Brand: Quizplus
Rating: 4.8 (48 reviews)

Question

Quizplus · Accepted Answer

Option premiums are paid by option buyers to sellers. Option sellers or writers receive a premium in exchange for the obligation to buy or sell the underlying asset at a specified price within a specified time period. Option buyers pay this premium in the hope of making a profit by exercising the option at a later date when the underlying asset price moves in their favor.

In Options Markets,option Premiums Are Paid By