As of June of 2016,Facebook (FB)had No Debt

Multiple Choice

As of June of 2016,Facebook (FB) had no debt.Suppose the firm's managers consider issuing zero-coupon debt with a face value of $231 billion due in January of 2018 (19 months) and using the proceeds to pay a special dividend.FB has 2.31 billion shares outstanding,with a market price (June,2016) of $116.62.The risk-free rate over this horizon is 0.25%. There is a call option trading on FB with a strike price of $100 and a price of $29.24.What is the implied credit spread of Facebook's proposed debt issue assuming perfect capital markets?

A) 8.89%
B) 8.64%
C) 19.74%
D) Cannot be determined from information given.