First - yes, 114.6 (after the allowance) he has not forfeited 106 because he made weight at 113. (and yes, if he weighed in for 113, even with the 2 lbs, he could wrestle 120 and still get down to 106, As long as he
Second - this was a recent clarification. If after the allowance, he weighins in at 107, but has not made scratch, he could not wrestle 120 because he has weighing for the 106 lb class but can not wrestle 106 until he makes scratch so he would be limited to 113.
And just for clarification, certifying for a weight class, the wrestler must weigh in at scratch and wrestle. Forfiets count as wrestling and yes he can wrestle 1 weight class above what he scratched at. He does not have to wrestle at the scratch weight