What is a stock option

Stock Option Contracts comes in several ways. In a typical option contract, the seller agrees to keep an offer open for a certain amount of time. A potential buyer has to give the seller some payment in exchange. In other words in an option contract, the seller is agreeing to keep the “option”open for the buyer. An option contract gives […]

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What is the Cost Basis

cost basis

Cost Basis can be best explained by the use of an everyday live example. Imagine that you are a broker who buys a house, renovate it and sell it for a higher amount. You have purchased the house for a certain amount of money. After that you will buy some paint and wall paper to do a make over. Then […]

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