1. You bought a share of Bavarian Sausage stock for $46.50 at the beginning of the year. During the year the stock paid a $2.75 dividend and at the end of the year it trades at $52.75. What is the total return of your stock investment

2.

An analyst seeks to determine the value of Bulldog Industries. After careful research, the analyst believes that free cash flows for the company will be $80 million in 2017 and will grow at 10% for 2018 and 2019. The free cash flows will grow at a rate of 5% after 2019. The market value of Bulldog Industries debt and preferred shares is $934 million. If the company has a weighted average cost of capital of 10%, what is the equity value of the companys shares? The company has 50 million shares outstanding. (Assume that it is 1 January 2017.)

		$14.63
		$16.23
		$17.03
		$22.63

3. What term refers to the number of shares issued by a company multiplied by the current price of the shares on the secondary market?

		Financial Leverage
		Market capitalisation
		Additional paid-in capital
		Liquidation value

4.

Thee decision as to whether a company will pay dividends is explicitly made by the:

		shareholders
		bondholders
		board of directors
		chief financial officer