An option is:
A)The right to buy or sell something in the future.
B)A debt instrument.
C)An obligation to buy something in the future.
D)An obligation to sell something in the future.

Question

Quizplus · Accepted Answer

An option gives the holder the right, but not the obligation, to buy or sell an asset at a predetermined price within a specified time period. It does not inherently obligate the holder to buy or sell, distinguishing it from futures contracts, which are obligations.

An Option Is