Question 1 (1 point) A (long) call is ... O an agreement to buy the underlying...

Question

Question

Question 1 (1 point) A (long) call is ... O an agreement to buy the underlying asset at a specified price O a right to pick a

Answer 1

Answer #1

1)

Long position in call option gives a right to purchase underlying asset at specified not a liability to purchase an asset at specified price.

Hence, correct option is “a right but not obligation to buy the underlying at a specified price”

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Answer 2

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