Her rain check is now worthless because she can simply purchase the VCR at the reduced price. Just because you own a long call option doesn't mean you are under any obligation to use it. Jane's friend Jeff phones and mentions that his VCR has just broken. However, Jeff is taking a risk. Call Option Review Call options give traders the right to buy the underlying stock at the strike price until market close on the 3rd Friday of the expiration month.
Buyers have rights.
A call buyer has the right, but not the obligation, to buy the underlying stock at the strike price until the expiration date. If you buy a call option, your maximum risk is the money paid for the option, the debit. The maximum profit is unlimited depending on the rise in the price of the underlying asset. To offset a long call, you have to sell a call with the same strike price to close out the position. By exercising a long call, you are choosing to purchase 100 shares of the underlying stock at the strike price of the call option.