The option to choose to terminate a project is like a put option.

Name: The option to choose to terminate a project is like a put option.
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A put option gives the holder the right, but not the obligation, to sell an underlying asset at a specified price within a specified period. In the same way, the option to terminate a project gives the decision-maker the right, but not the obligation, to end the project before completion.

The Option to Choose to Terminate a Project Is Like