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Basic Question 4 of 6

If a firm has the option to abandon a project during its life, this amounts to a ______ option on the remaining cash flows associated with the project.

A. call
B. put

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I am using your study notes and I know of at least 5 other friends of mine who used it and passed the exam last Dec. Keep up your great work!
Barnes

Barnes

Learning Outcome Statements

describe types of real options relevant to capital investments

CFA® 2024 Level I Curriculum, Volume 2, Module 5.