The study shows how data obtained in the National Longitudinal Study of the High School Class of 1972 has been used to answer some questions about the federal strategy for awarding financial aid. The questions considered are: (1) What expectations did the senior class of 1972 planning to enter postsecondary education have about how they would meet the costs, and do the expectations vary systematically with such factors as sex, race, family income, and ability level?; (2) How realistic were these expectations, as evidenced by later experience?; (3) How was aid distributed among subgroups of students defined by sex, race, family income, ability level, and type of postsecondary institution attended?; (4) Did the family contribution vary by the cost of the institution or by the aid received?; (5) To what extent has direct financial aid equalized the net college price to student from various family income levels?; and (6) To what extent is direct aid related to persistence in postsecondary education over time? Some data tables and charts are included. (MSE)