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What is a strike price? O The price at market close O. The value of the security O The buying price This only applies to call options What does exercising an option mean? O Holding the option until it expires Only selling the option Only buying the option Buying or selling the security What is a call option? The right, but not the obligation, to buy a contract of stock at an agreed price. The right, and the obligation, to buy a contract of stock at an agreed price. 2 The right, but not the obligation, to sell a contract of stock at an agreed price. The right, and the obligation, to sell a contract of stock at an agreed price. What is a put option? O The right but not the obligation, to buy a contract of stock at an agreed price. The right, and the obligation, to buy a contract of stock at an agreed price. The right but not the obligation, to sell a contract of stock at an agreed price. O The right, and the obligation, to sell a contract of stock at an agreed price. What is a naked call option? O When you own the underlying stock and write the call. When you buy the right, but not the obligation to buy an option contract. When you buy the right, but not the obligation to sell an option contract. o When you do not own the underlying stock and write the call

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