1. Growing, Inc. is a firm that is experiencing rapid growth. The firm yesterday paid a dividend of $3.80. You believe that dividends will grow at a rate of 12.0% per year for three years, and then at a rate of 6.0% per year thereafter. You expect that the stock will sell for $63.16 in three years. You expect an annual rate of return of 18.0% on this investment. If you plan to hold the stock indefinitely, what is the most you would pay for the stock now?

	$42.20
	$34.60
	$48.72
	$29.22
	$38.98

2.You are valuing an investment that will pay you $28,000 per year for the first 5 years, $43,000 per year for the next 8 years, $56,000 per year the next 15 years, and $52,000 per year for the following 11 years (all payments are at the end of each year). If the appropriate annual discount rate is 11.00%, what is the value of the investment to you today?

	$2,110,627.20
	$276,834.67
	$1,896,000.00
	$1,229,125.60
	$355,874.37