I had the same issue do I changed to version 3 and force publish the function app
az functionapp create \
--resource-group "$RESOURCEGROUP" \
--name "$FUNCTIONAPP" \
--storage-account "$STORAGEACCT" \
--runtime node \
--consumption-plan-location centralus \
--functions-version 3
and also
func azure functionapp publish "$FUNCTIONAPP" --force
but this is not an exact solution to the problem but helps you to complete the exercise. So, you should report regarding this issue.