Given that fixed income security will generate cash flows Y1, Y2,..., Yn at points T1, T2,..., Tn, please explain that the value of this fixed income security at point T_k, X_Tk is , Rather than

X16 _k, Y;.B(t, T;) LizkY; B(t, T;) 3. Zero coupon bond vs interest-paying bonds vs fixed-income securities Zero coupon bond price =B(0,1) Quotation of interest-bearing bonds (theoretical price) Market price of interest-paying bonds (actual delivery price, including prior interest) Fixed income securities: fixed interest payment time T(K) t T (k+1) ... X16 _k, Y;.B(t, T;) LizkY; B(t, T;) 3. Zero coupon bond vs interest-paying bonds vs fixed-income securities Zero coupon bond price =B(0,1) Quotation of interest-bearing bonds (theoretical price) Market price of interest-paying bonds (actual delivery price, including prior interest) Fixed income securities: fixed interest payment time T(K) t T (k+1)