Define: Option

UK Accounting Glossary

Definition: Option


Quick Summary of Option


Buying the rights to purchase an asset for a certain period of time. For example, a business may option an asset for 6 months for 10% of the sale cost. During this time they do not own the asset; however, the company that does own it is not allowed to sell it during this period.



What is the dictionary definition of Option?

Dictionary Definition



Full Definition of Option




Option FAQ's



Cite Term


To help you cite our definitions in your bibliography, here is the proper citation layout for the three major formatting styles, with all of the relevant information filled in.

Page URL
https://payrollheaven.com/define/option/
Modern Language Association (MLA):
Option. PayrollHeaven.com. Payroll & Accounting Heaven Ltd. July 18, 2019 https://payrollheaven.com/define/option/.
Chicago Manual of Style (CMS):
Option. PayrollHeaven.com. Payroll & Accounting Heaven Ltd. https://payrollheaven.com/define/option/ (accessed: July 18, 2019).
American Psychological Association (APA):
Option. PayrollHeaven.com. Retrieved July 18, 2019, from PayrollHeaven.com website: https://payrollheaven.com/define/option/

Definition Sources


Definitions for Option are sourced/syndicated from:

  • Oxford Dictionary Of Economics
  • BusinessDictionary.com
  • Oxford Dictionary Of Accounting
  • Oxford Dictionary Of Business & Management

This glossary post was last updated: 28th December 2018.