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The discount rate that makes the present value of a bond's payments equal to its price is termed the:

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Coupon rate is the rate of discount that makes the present value of a bond's payments equal to its price.

Basically, the discount rate means the interest rate used to get P.V. of future cash flows in a discounted cash flow (DCF).

The coupon rate refers to the interest rate paid by bond-issuers on the bond's face value.

Hence, the Coupon rate is the rate of discount that makes the present value of a bond's payments equal to its price.

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