Schweser Exam Book 2 #116 test, why, discount, practice, question

cv4cfa

Not going to write out the full question but can someone please explain how they are getting A instead of B on the practice test Schweser book 2 exam 1 pm #116?
They are asking for the value of the FRA in 3 months but then they discount back to the present…does not make sense to me why they would have this step….also the CFAI formula in reading 60 pg 37 does not show this.