Fill the blank.

When a corporation wishes to borrow money from the public on a long-term basis, it usually does so by issuing, or selling, debt securities that are generically called______. The regular interest payments the company promises to make are called the bond's ______. The amount that will be repaid at the end of the loan is called the bond's _____ value or _____ value. The annual coupon divided by the face value is called the ________ rate. The number of years until the face value is paid is called the bond's time to _____. The interest rate required in the market on a bond is called the bond's _____ to maturity (YTM).

When the bond is issued, the coupon rate is generally set to _____ the market rate. The coupon rate is fixed; however, the _____ rate changes over the life of the bond. When interest rates change, bond prices change. There is an _____ relation between interest rates and bond prices. When market rates increase, bond prices _____. Thus, when the coupon rate is less than the market rate, the bond trades at a ___. And, when market rates decrease, bond prices _____. Here, the coupon rate is _____ than the market rate and the bond trades at a premium.

Equal - Par - Coupons - Market - bonds - increase - yield - coupon - discount - decrease - maturity - face - increase - greater