ERROR: error executing step command 'package --all' #288

I am having this issue during the azd up deployment. I have azd version 1.20.2

I tried deploying using Github Codespaces and locally with the same result.
Packaging services (azd package)

(x) Failed: Packaging service web

ERROR: error executing step command 'package --all': failed building service 'web': failed invoking event handlers for 'prebuild', 'prebuild' hook failed with exit code: '127', Path: '/tmp/azd-prebuild-1940153890.sh'. : exit code: 127, stdout: , stderr: /bin/sh: 1: /tmp/azd-prebuild-1940153890.sh: not found

I was able to deploy the template after create an script file with the commands in the prebuild hook

#!/bin/sh
set -e

cd "$(dirname "$0")/../src/frontend"
npm install
npm run build

Then I changed the hook

posix:
                    shell: sh
                    run: ../../scripts/prebuild.sh
                    interactive: false
                    continueOnError: false

It worked for both Github Codespaces and in my local.