HOW SHOULD I REACT WHEN HE BECOMES HORNY ON THE PHONE?

Since me and my bf are living away from each other we communicate by e-mails, chat and most of the time through phone. We’ve been together for 9 months & we talked about a lot of things including sex. At first I was really uncomfortable talking about it because I’m a virgin and he knows it…he would change the topic whenever he feels I’m already uncomfortable. Now, I’d say I’m getting comfy talking about it with him but then he asked (politely..) me if we can do it on the phone. That’s when I started to panic…I said no but I think I wanted to say yes. He said he understands but I think he was disappointed so he asked if he can just masturbate sometimes while we’re talking & I said okay…at least he’s not looking for other women to fulfill his sexual needs, right?

Here are my questions:

1. How should’ve I reacted in that situation?

2. What do you think he felt after I rejected his offer? How can I make it up to him?

3. What would he think of me if I agree to do it on the phone with him?

4. Is it ok if I let him do his thing while we’re talking?