The Difference Between the Budget Deficit and the National Debt

The difference between the budget deficit and the national debt is that the deficit is

A) financed by borrowing; the debt is financed by selling bonds.
B) a long-term concept; the debt is a short-term concept.
C) the difference between the size of the debt and the amount of government revenues in a given year.
D) the estimated revenue shortfall; the debt is the actual revenue shortfall.
E) the difference between expenditures and revenues; the debt is the total amount owed by the government.