Clarke hit four 3-pointers and Dunham had three for the Bulldogs (6-2), who never trailed, opened the game on a 35-8 run and led by as many as 37 in the second half. Andrew Smith added 11 points, Erik Fromm and Khyle Marshall had 10 apiece, and every player on Butler's roster saw at least 4 minutes of action.
The Bulldogs shot 56 percent from the floor and made 11 of their 21 3-point attempts. They also turned 19 IUPUI turnovers into 22 points.
Butler improved to 73-11 in Hinkle Fieldhouse under coach Brad Stevens.
DeSean Murray, who averaged 20.2 points as a sophomore at Presbyterian, will transfer to Auburn to play for coach Bruce Pearl.
Former Kentucky guard Ed Davender, the only Wildcat with at least 1,500 points and 400 assists, has died. He was 49.
Guard Naz Mitrou-Long, whose 2015-16 season ended in December due to hip problems, has been granted a hardship waiver for the coming season, Iowa State said.