A ______ option gives the owner the right, but not the obligation, to sell an asset at a specified price.
A) European
B) Put
C) Call
D) American
E) Bermudan

Question

Quizplus · Accepted Answer

A put option gives the owner the right to sell an asset at a specified price, but not the obligation. This differs from a call option, which gives the owner the right to buy an asset at a specified price. European, American, and Bermudan refer to the exercise style of the option, not its underlying characteristics.

A ______ Option Gives the Owner the Right, but Not