Which one of the following obligates the seller to buy an asset for a specified price but only if the contract is exercised?

A) Call option.
B) Put option.
C) Swap contract.
D) Rate collar.
E) Futures contract.

Put Option

This is a financial deal that permits the carrier to optionally sell a specified volume of an underlying asset at a designated price within an agreed timeframe, without mandatory action.

Seller

An individual or entity that offers goods or services in exchange for payment or other compensation.

Specified Price

A pre-determined price point related to financial and contractual agreements.