Question: What is the difference between a forward contract and an options contract? a forward contract commits the parties involved to a transaction in the future

What is the difference between a forward contract and an options contract?
a forward contract commits the parties involved to a transaction in the future at a price agreed upon
today; an option contract gives one party the option to buy or sell in the future at a price agreed
upon today
both commit the parties involved to a transaction in the future; only the forward contract sets the
future price in advance because option contracts set future quantities
forward contracts commits the parties involved to a transaction in the future at a price agreed upon
today; options contracts are similar but they commit the parties to honor whatever the market price
happens to be in the future
a forward contract gives one party the option to buy or sell in the future at a price agreed upon
today; an option contract commits the parties involved to a transaction in the future at a price
agreed upon today
What is the difference between a forward contract and an options

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