Which of the following statements about options is TRUE?

1. THe option seller bears credit risk at the time when the option is sold because the option buyer may not pay the option premium.

2. The call writer is in the short position and has the obligation to sell the underlying asset at the exercise price when the call owner wants to exercise the option.

3. The put owner is in the short position because he has the right to sell the underlying asset at the exercise price.

4. The put writer is in the long position because she has the obligation to buy the underlying asset at the exercise price when the put owner wants to exercise the option.