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The Difference Between a Put and a Call Option Is

Question 26

Multiple Choice

The difference between a put and a call option is that:


A) A put is an option to sell common stock at a specified price while a call is an option to buy common stock at a specified price
B) A call is an option to sell common stock at a specified price while a put is an option to buy common stock at a specified price
C) A call is an option to buy common stock at a specified price while a put is the option to buy preferred stock at a specified price
D) A call is an option to sell common stock at a specified price while a put is the option to sell preferred stock at a specified price

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