In applications of the classic methods of capital budgeting the emphasis has always been on the decision to “enter” a project, i.e., to select the project(s) to be executed. Although this decision remains a very important one, it is important to examine the decision to “exit a project”. When should one get out of a project or what are the financial consequences of a premature termination of an investment project? This paper introduces an extended version of the net present value rule for exit calculations. The impact of premature termination of a project can be graphed and forms the exit economic profile for the “life—cycle” of the project. This allows the investor to quantify the economic consequences of exiting the project at different points in time providing a measure of the risks involved in terminating or exiting a project. This type of analysis is particularly important for projects that face environmental uncertainty or those that may be terminated prematurely for example by technology, strategic flexibility, and government expropriation or other forces beyond the company's control.