How to parse each line of a text file as an argument to a command?

I’m looking to write a script that takes a .txt filename as an argument, reads the file line by line, and passes each line to a command. For example, it runs command --option "LINE 1", then command --option "LINE 2", etc. The output of the command is written to another file. How do I go about doing that? I don’t know where to start.