Which of the following is true for the party paying fixed in a newly negotiated interest rate swap when the yield curve is downward sloping?

Select one:

a.The early forward contracts underlying the swap have a positive value and the later ones have a negative value

b.The early forward contracts underlying the swap have a negative value and the later ones have a positive value

c.The swap is designed so that all forward contracts have zero value

d.Sometimes a. is true and sometimes b. is true