An option is a type of contract between a buyer and a writer wherein one grants the other the __ to buy or sell a specific asset at a specific price within a specified date.
A) right
B) obligation
C) tax status
D) power of attorney

Question

Quizplus · Accepted Answer

An option grants the buyer the right, but not the obligation, to buy or sell an asset at a specified price within a specific date. The key term in the definition of an option is "right."

An Option Is a Type of Contract Between a Buyer