Which of the following statements about various types of negotiated financing is most correct?

A. Because commercial paper is a money market instrument, even companies ranked low on creditworthiness are able to use it as a source of short-term financing.
B. Banker's acceptances involve a large, well-known bank replacing the creditworthiness of the "drawee" (e.g., an American importer).
C. The principal disadvantage of commercial paper as a source of short-term financing is that it is generally more expensive than a short-term business loan from a commercial bank.
D. Revolving credit agreements are informal arrangements to extend credit up to a maximum amount over a stated time period.