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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:

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Suggested Answer: C

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

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Gail
20 days ago
Hmm, I was going to say C) Buy Option, but then I remembered I already bought a lot of those. B) Call Option it is!
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Adolph
25 days ago
B) Call Option, definitely. How else would I get my hands on that sweet, sweet underlying asset?
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Andrew
13 days ago
A) Sell Option
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Cecil
1 months ago
D) None of the above, really? That's got to be a trick question. I'm sticking with B) Call Option.
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Shala
15 days ago
I agree with both of you. Call Option is the correct answer.
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Alesia
18 days ago
I'm not sure, but I think A) Sell Option gives you the right to sell the asset at a specific price.
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Major
19 days ago
I think it's B) Call Option too. It gives you the right to buy the asset at a specific price.
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Fatima
1 months 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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Socorro
20 days ago
I agree, a Call Option gives the holder the right to buy the underlying asset at a specified price.
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Dana
26 days ago
I think you're right, it is B) Call Option.
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Tracie
2 months 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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Skye
2 months 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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Rasheeda
2 months ago
B) Call Option - That's the one! The definition fits perfectly.
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Herminia
22 days ago
D) None of the above - I'm not sure about this one, can you explain?
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Solange
1 months ago
B) Call Option - Yeah, call options give you the right to buy the asset.
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Stacey
1 months ago
A) Sell Option - I always get confused between call and sell options.
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Jackie
1 months ago
B) Call Option - That's the one! The definition fits perfectly.
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Corinne
2 months ago
B) Call Option
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