The strike cost might be set by referral to the spot cost (market value) of the hidden security or product on the day an option is gotten, or it might be fixed at a discount or at a premium. The seller has the matching obligation to satisfy the deal (i.An alternative that communicates to the owner the right to buy at a specific rate is referred to as a call; an option that communicates the right of the owner to cost a specific price is referred to as a put. The seller may give a choice to a purchaser as part of another transaction, such as a share concern or as part of a worker reward scheme, otherwise a purchaser would pay a premium to the seller for the option.