Question: Match each term with its definition or explanation. Terms can be used more than once. Definition / Explanation Term Frequency with which cash interest payments

Match each term with its definition or explanation. Terms can be used more than once.
Definition/Explanation
Term
Frequency with which cash interest payments are made to the bondholders
Nominal rate
Principal
Occurs when a bond issue is priced below par value
Occurs when the effective interest rate is higher than the stated interest rate
Par value
Occurs when a bond issue is priced above par value
Amount of interest that the bond issuer will pay in cash expressed as an annual rate
Occurs when the effective interest rate is lower than the stated interest rate
Face rate
Actual return that the investors will receive
Specified date when the bond issuer must pay the face value of the bonds to the bondholders
Coupon rate
The amount that the company will pay the bondholder at maturity
Match each term with its definition or explanation. Terms can be

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