Question: When a put option is exercised, the: Multiple Choice seller of the option receives the strike price. seller of the option receives the option premium.

When a put option is exercised, the:

Multiple Choice

  • seller of the option receives the strike price.

  • seller of the option receives the option premium.

  • buyer of the option sells the underlying asset and receives the option premium.

    Incorrect

  • buyer of the option pays the option premium and receives the underlying asset.

  • seller of the option must buy the underlying asset and pay the strike price.

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