Hi, I came along this question

A 6% Treasury bond is trading at $1,044 (including accrued interest) per $1,000 of face value. It will make a coupon payment 98 days from now. The yield curve is flat at 5% over the next 150 days. The forward price per $1,000 of face value for a 120-day forward contract, is closest to:

A. $1,014.52. B. $1,030.79. C. $1,037.13.

The text provides this explanation:

Remember that U.S. Treasury bonds make semiannual coupon payments, so: The forward price of the contract is therefore: FP (on a fixed income security) = (S0 ā PVC) Ć (1 +Rf)T = ($1,044 ā $29.61) Ć (1.05)120/365 = $1,030.79

However, the formula to be applied in these cases according to text is: QFP: [(full price)(1-Rf)^T - AIt - FVC] (1/CF)

Where full price = Clean Price + Accrued interest at t0

If I look to both the solution and the formela it looks like they are subtracting only FVC and not AIt. Is the text implying that both the Accrued interest at t0 and AIt are included in the notation ā1,044 (including accrued interest)ā? This would be very misleading because the question gives all the data to calculate AIt

Any thoughts? Thanks