Predicting Yield curve

Hi all,

While going through CFAI books, I got confused on the explanation. Here is the question and solution:

[question removed by moderator]

So, why we do not discount the first coupon payment ? to my understanding, we should discount the first payment 6 by 1.06.

Could anyone explain me where I got lost ?


One year from today he will receive that first payment: cash in hand. No discounting.