Question

A call option gives its owner the _____ a security at the strike price within the...

A call option gives its owner the _____ a security at the strike price within the option period.

1.

right, but not the obligation, to sell

2.

obligation to buy

3.

right to borrow

4.

right, but not the obligation, to buy

5.

obligation to sell

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Answer #1

Ans 4. right, but not the obligation, to buy

A call option gives its owner the right, but not the obligation, to buy a security at the strike price within the option period.

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