An option giving the owner the right, but not the obligation, to sell an asset is a:
APut option
BPull option
CPair option
DPass option
Answer & Solution
Correct answer: A. Put option
1. The holder may sell if it suits them.
2. They can also let it lapse.
3. That contract is a put option.
_Source: OpenStax Principles of Finance, Chapter 20, Risk Management and the Financial Manager._
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