Options on futures contracts are referred to as ________.
A) stock options
B) futures options
C) American options
D) individual options

Question

Quizplus · Accepted Answer

Options on futures contracts are specifically called futures options, as they give the holder the right, but not the obligation, to buy or sell futures contracts at a set price and time in the future. The other options listed, such as stock options and American options, refer to different types of options contracts that are not related to futures. Therefore, the correct answer is B.

Options on Futures Contracts Are Referred to as ________