Commerce WAEC

A put option in the stock exchange is an option?

A. to sell
B. not to sell
C. to buy
D. not to buy

Correct Answer: Option A

A. to 

Explanation

A put or put option is a stock market device which gives the owner the right, but not the obligation, to sell an asset at a specified price by a predetermined date (the expiry or maturity) to a given party (the seller of the put).

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