Options are contracts that give the purchasers the     option to buy or sell an underlying asset     the obligation to buy or sell an underlying asset.     the right to hold an underlying asset.     the right to switch payment streams.

Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter13: Investments And Long-term Receivables
Section: Chapter Questions
Problem 17GI
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which one is correct please confirm?

Q4:

Options are contracts that give the purchasers the
   
option to buy or sell an underlying asset
   
the obligation to buy or sell an underlying asset.
   
the right to hold an underlying asset.
   
the right to switch payment streams.
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