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Compute the maturity date and the maturity value associated with each of the following notes receivables.
1. A $15,000, 6%, 3-month note dated April 20.
Maturity date ___________, Maturity value $____________.
2. A $25,000, 8%, 72-day note dated June 10.
Maturity date ___________, Maturity value $____________.
3. An $8,000, 9%, 30-day note dated September 20.
Maturity date ___________, Maturity value $____________.
Long-Run Growth Rate
The sustainable rate at which a company or an economy can grow its output over a long period without increasing inflation.
Required Rate of Return
The minimum return an investor expects to achieve for the risk associated with a particular investment.
Expected Dividend
The dividend payout anticipated by shareholders based on the issuing company’s past distributions and future earnings projections.
Expected Capital Gains Yield
The anticipated return from an increase in the price of an investment, not including dividends or interest.
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