Asked by Allyssa Wilson on Jun 15, 2024
Verified
Buying a call option gives you the right to purchase shares.
Call Option
An option that gives the owner the right, but not the obligation, to buy an asset.
Purchase Shares
The act of buying ownership stakes in a company, typically through its stock, offering potential for investment returns.
- Be familiar with the rights and obligations associated with buying and selling call and put options.
Verified Answer
SJ
Sheba JohnsonJun 17, 2024
Final Answer :
True
Explanation :
Buying a call option gives the holder the right, but not the obligation, to purchase a specified amount of an underlying security at a specified price within a specified time period.
Learning Objectives
- Be familiar with the rights and obligations associated with buying and selling call and put options.