The term structure of interest rates defines the ____ and tends to be _____ during periods of economic growth.

A) relationship between the term to maturity and the annualized yield of debt; upward sloping

B) relationship between the term to maturity and the annualized yield of debt; downward sloping

C) credit terms included in the bond indenture; more lenient

D) credit terms included in the bond indenture; more restrictive

Which of the following debt instruments pay interest?

A) Treasury bills

B) Commercial paper

C) Certificates of deposit

D) Repurchase agreements