SOFE Exam AFE Topic 2 Question 94 Discussion

Actual exam question for SOFE's AFE exam

Question #: 94
Topic #: 2

[All AFE Questions]

An instrument that grants the holder the right but not the obligation to buy the underlying asset at a specified strike price is known as:

ASell Option

BCall Option

CBuy Option

DNone of the above

Show Suggested Answer

Suggested Answer: C

by Tarra at Jan 26, 2025, 09:37 AM

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2 days ago

Ugh, this one's tricky. I'm going to have to go with B) Call Option, but I'm not 100% sure.

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10 days ago

I think it's A) Sell Option because it grants the holder the right to sell the underlying asset at a specified price.

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12 days ago

I agree with Corinne, it's B) Call Option because it gives the holder the right to buy the underlying asset at a specified price.

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17 days ago

B) Call Option - That's the one! The definition fits perfectly.

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4 days ago

B) Call Option - That's the one! The definition fits perfectly.

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18 days ago

B) Call Option

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