Jackson inc. just paid out a per-share dividend of $3.15 on its common stock. The dividend is expected to increase at a rate of 15% for the coming five years. After that, the growth in per-share dividends will drop to a rate of 2.5% for the foreseeable future. Investors in Paxton common stock require a return of 8.50%. he discounted value at the end of five years of all expected dividends to come after year 5 is:

		a. $90.80
		b. $86.59
		c. $108.24
		d. $114.57
		e. $82.52

What is the effective annual rate on a loan that has an APR of 12%, and that compounds interest daily?

		a. 12.36%
		b. 12.55%
		c. 12.75%
		d.12.68%
		e. 12.84%