How does a DHCP server dynamically assign IP addresses to hosts?

How does a DHCP server dynamically assign IP addresses to hosts?

A.
Addresses are allocated after a negotiation between the server and the host to determine the
length of the agreement.

B.
Addresses are permanently assigned so that the hosts uses the same address at all times.

C.
Addresses are assigned for a fixed period of time, at the end of the period, a new request for an
address must be made.

D.
Addresses are leased to hosts. A host will usually keep the same address by periodically
contacting the DHCP server to renew the lease.

Explanation: