Credit options are contracts where the purchaser gains the right to receive profits that are tied to ________.
A) the obligation to buy or sell an underlying asset
B) the price of an underlying security or to an interest rate
C) the right to hold an underlying asset
D) the right to switch payment streams

Question

Quizplus · Accepted Answer

Credit options are contracts where the purchaser gains the right to receive profits that are tied to the price of an underlying security or to an interest rate.

Credit Options Are Contracts Where the Purchaser Gains the Right