1A) What is the exact dividend growth rate if the dividend was $1.80 4 years ago and it is $2.56 today?

	a.	7.4%
	b.	10.6%
	c.	9.2%
	d.	19.0%

1B) What is the dividend payout ratio if net earnings are $17,500,000 and retained earnings are $6,850,000?

	a.	68.5%
	b.	More information is needed to make a calculation.
	c.	39.1%
	d.	60.9%

1C) Here you go - the non-constant DDM: Jonestown, Inc.s current dividend of $2.50 is expected to grow 20% for the next 5 years and then fall to 10% thereafter. If the investors required rate of return is 14%, what is Jonestowns intrinsic value (what would you pay for the stock today)?

	a.	$48.86
	b.	$103.46
	c.	$92.15
	d.	$185.62

1D) Which of the following would be part of a bond indenture?

(1) Loan covenants that force immediate repayment in the event the company issues additional debt

(2) Sinking fund provisions requiring the company to contribute funds to an account that will be used to repay the loan at maturity

(3) A clause restricting the compensation of the corporate officers

(4) Clauses that provide for dividend and working capital ratios

	a.	1, 3 and 4
	b.	2 and 4
	c.	1 and 2
	d.	1, 2 and 4