The difference between Derivative and Option

When used as nouns, derivative means something derived, whereas option means one of a set of choices that can be made.

Derivative is also adjective with the meaning: obtained by derivation.

Option is also verb with the meaning: to purchase an option on something.

check bellow for the other definitions of Derivative and Option

Derivative as an adjective:

Obtained by derivation; not radical, original, or fundamental.

Examples:

"a derivative conveyance; a derivative word"
Derivative as an adjective:

Imitative of the work of someone else.
Derivative as an adjective (legal, copyright):

Referring to a work, such as a translation or adaptation, based on another work that may be subject to copyright restrictions.
Derivative as an adjective (finance):

Having a value that depends on an underlying asset of variable value.
Derivative as an adjective:

Lacking originality.

Derivative as a noun:

Something derived.
Derivative as a noun (linguistics):

A word that derives from another one.
Derivative as a noun (finance):

A financial instrument whose value depends on the valuation of an underlying asset; such as a warrant, an option etc.
Derivative as a noun (chemistry):

A chemical derived from another.
Derivative as a noun (calculus):

The derived function of a function (the slope at a certain point on some curve f(x))

Examples:

"The derivative of <math>f:f(x) = x^2</math> is <math>f':f'(x) = 2x</math>"
Derivative as a noun (calculus):

The value of this function for a given value of its independent variable.

Examples:

"The derivative of <math>f(x) = x^2</math> at x = 3 is <math>f'(3) = 2 * 3 = 6</math>."

Option as a noun:

One of a set of choices that can be made.
Option as a noun:

The freedom or right to choose.
Option as a noun (finance, legal):

A contract giving the holder the right to buy or sell an asset at a set strike price; can apply to financial market transactions, or to ordinary transactions for tangible assets such as a residence or automobile.

Option as a verb:

To purchase an option on something.

Examples:

"The new novel was optioned by the film studio, but they'll probably never decide to make a movie from it."
Option as a verb (computing, dated):

To configure, by setting an option.