Task: Class Definition Understanding (ontology: Business_Finance/Financial_Industry_Business_Ontology)

Which of the following definitions best describes 'interest rate derivative instrument'?

A. agreement to exchange an interest rate commitment on a notional amount
B. derivative instrument whose underlier is a non-physical observable value, such as an interest rate, market rate, economic indicator, statistical measure calculated over some collection of indices, or some other rate
C. rate-based derivative whose underlier is some economic indicator
D. rate-based derivative whose underlier is an interest rate

Answer: rate-based derivative whose underlier is an interest rate