Exam JN0-663 topic 1 question 93 discussion

It's C, because the CE3 know the MAC of CE1 which means that CE1 sent a broadcast, if CE1 know the mac that means that PE3 know the mac, if PE3 know the MAC of CE-1 it will send the frame to PE1 only

VPLS carries Ethernet traffic across a service provider network, so it must mimic an Ethernet network in some ways. When a PE router configured with a VPLS routing instance receives a packet from a CE device, it first determines whether it knows the destination of the VPLS packet. If it does, it forwards the packet to the appropriate PE router or CE device. If it does not, it broadcasts the packet to all the other PE routers and CE devices that are members of that VPLS routing instance. In both cases, the CE device receiving the packet must be different from the one sending the packet. https://www.juniper.net/documentation/us/en/software/junos/vpn-l2/topics/concept/ng-vpls-p2mp-lsp-forwarding-overview.html

agree with @anonymonkey, with B or VPLS, packets can traverse the service provider networks in point-to-multipoint fashion, meaning that a packet originating from a CE device can be broadcast to all the PE routers participating in a VPLS routing instance. In contrast, a Layer 2 VPN forwards packets in point-to-point fashion. The paths carrying VPLS traffic between each PE router participating in a routing instance are called pseudowires.

Answer is B.The Question clearly says that its a VPLS and the same link is linked below states: The difference is that, for VPLS, packets can traverse the service provider networks in point-to-multipoint fashion, meaning that a packet originating from a CE device can be broadcast to all the PE routers participating in a VPLS routing instance. In contrast, a Layer 2 VPN forwards packets in point-to-point fashion.

"C" Referencing MACs indicates this is a L2VPN. A layer three would have sent the packet to both making B correct. Frames would be sent to the other end of the Psuedowired connection on the same L2VPN. https://www.juniper.net/documentation/en_US/release-independent/nce/topics/concept/vpls-understanding.html