Mexican sovereign US$-denominated zero coupon bonds with a 12-month maturity have a yield to maturity...

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Finance

Mexican sovereign US$-denominated zero coupon bonds with a 12-month maturity have a yield to maturity of 0.86% per year. The spread vs. similar bonds issued by the US government is 0.19%. Mexico has a sovereign rating of BBB+.

The bonds issued by the U.S. government should trade at a price of:

A. $98.65

B. $99.15

C. $98.95

D. $99.33

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