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InterviewSolution
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What Are Calls And Puts? |
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Answer» A "call" is an option that gives the option buyer the right (WITHOUT obligation) to purchase a futures CONTRACT at a certain price on or before the expiration date of the option for a price CALLED the premium, DETERMINED in open outcry trading in pits on the trading floor. A "PUT" is an option the gives the option buyer the right (without obligation) to sell a futures contract at a certain price on or before the expiration date of the option. A "call" is an option that gives the option buyer the right (without obligation) to purchase a futures contract at a certain price on or before the expiration date of the option for a price called the premium, determined in open outcry trading in pits on the trading floor. A "put" is an option the gives the option buyer the right (without obligation) to sell a futures contract at a certain price on or before the expiration date of the option. |
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