| coupons | The stated interest on a debt instrument.
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| discount | If a bond is selling below its face value, it is said to sell at a discount.
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| face value | The value of a bond that appears on its face. Also referred to as par value or principal.
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| maturity date | The date on which the last payment on a bond is due.
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| payout ratio | Proportion of net income paid out in cash dividends.
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| premium | If a bond is selling above its face value, it is said to sell at a premium.
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| pure discount bond | Bonds that pay no coupons and only pay back face value at maturity. Also referred to as "bullets" and "zeros."
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| retention ratio | Retained earnings divided by net income. Also called the plowback ratio.
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| return on equity (ROE) | Net income after interest and taxes divided by average common stockholders' equity.
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| yield to maturity | The discount rate that equates the present value of interest payments and redemption value with the present price of the bond.
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