What does the term “coupon” refer to when we talk about bonds?

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A penalty fee applied if a bondholder sells their bond before maturity.

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The periodic interest payment, which is calculated as the interest rate multiplied by the value of the bond.

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A one-time payment made at the end of the bond’s maturity period.

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A discount provided to investors when they purchase bonds.

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I don't know the answer.

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