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Commerce · Q2801

Accounting

Graduate and Post Graduate · Commerce · question 2801

Q2801

Call option is:

A.
a contract to buy a certain number of shares at a stated price within a specified period of time
Answer
B.
a contract to sell a certain number of shares at a stated price within a specified period of time
C.
the option of the issuing company to demand the shareholders to pay for the partly paid shares
D.
the option available to the convertible debenture holders to demand equity shares in conversion of debentures

Answer: Option A

Solution

Answer: Option A
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