Finance Final 3325

1) What is the APY for a one-year $7,500 certificate of deposit with $270 interest? A) 3.2% B) 4.0% C) 3.6% D) None E) 3.8%

C) 3.6%

38) A payday loan company charges 1.6 percent interest for a two-week period. What would be the annual interest rate from that company? Assume an even 52 weeks per year. A) 19.2 B) 32.0 C) 41.6 D) 16.0 E) 83.2

C) 41.6

1) Sue has the following tax records for tax year 2018: Standard Deduction: $12,000 Interest: $1,200 Dividends: $2,300 Mortgage Interest: $7,000 (itemized) IRA contributions: $6,000 Charitable Contribution: $4,500 (itemized) Property Taxes: $3,500 (itemized) Wages: $ 63,500 Sue's Taxable Income is A) 54,3000 B) 34,000 C) 46,000 D) 49,700 E) 45,300

C) 46,000

19) Which of the following is an example of open-end credit? A) A mortgage loan B) Single lump-sum credit C) A department store credit card D) An installment loan for purchasing furniture E) An automobile loan

C) A department store credit card

6) Zoe signed the back of her check with the words "for deposit only." She used a(n) A) Blank endorsement. B) Restrictive endorsement. C) Deposit ticket. D) Special endorsement. E) Individual account.

Restrictive endorsement.

24) All of the following are deposit institutions except A) A commercial bank. B) A savings and loan association. C) A finance company. D) A mutual savings bank. E) A credit union.

C) A finance company.

43) Jordan earns an annual salary of $45,000. If a lender uses 33% of monthly gross income as a guideline for the maximum PITI (principal, interest, taxes, and insurance), what is the maximum mortgage that Jordan can apply for? A) $1,485.00 B) $7,500.00 C) $1,237.50 D) $2,475.00 E) $3,750.00

C) $1,237.50

20) Acme Home Lending offers home equity loans up to 80% of the home value for its customers. If Sally Johnson has a home valued at $200,000 and a current mortgage of $50,000, how much can she borrow in a home equity loan from Acme? A) $80,000 B) $160,000 C) $110,000 D) $50,000 E) $150,000

C) $110,000

5) Fred received a $1,400 loan from the bank for a new appliance. The bank is using the simple interest formula for this two-year, 8% loan. What is his total interest? A) $112 B) $66 C) $224 D) $1,624 E) $448

C) $224

21) If you have a $240,000 30-year 5% mortgage, how much of your first monthly payment of $1,288 would go toward principal? A) None B) 644 C) $288 D) $1000 E) $1288

C) $288

35) If you want $1,000 three years from now and you earn 4 percent on your savings, how much do you need to deposit now? A) $1,030 B) $1,000 C) $889 D) $1,040 E) $885

C) $889

39) Tim needed a $12,000 loan for his new car. He took a loan which is quoted at add-on rates. That is, during the life of the loan, interest is paid on the full amount borrowed even though a portion of the principal is being paid every month. Tim borrowed $12,000 for a period of five years at an add-on interest rate of 10 percent. The APR for this loan is

C) 19.67%

30) Gal wants to buy a new car. She needs to borrow $ 16,000. The bank offers a rate of 5% for five year loans. How much does she have to pay annually to cancel the loan? A) $3,512 B) 3,856 C) 3,696 D) $3,897 E) $3,226

C) 3,696

45) A legal agreement that provides for the management and control of assets by one party for the benefit of another is known as A) A savings account. B) A loan. C) A trust. D) A checking account. E) None of these.

C) A trust.

54) The money left over after paying for housing, food, and other necessities is called A) Gross income. B) Monthly savings. C) Discretionary income. D) Take-home pay. E) Disposable income

C) Discretionary income.

19) Which of the following ratios indicates the number of months in which living expenses can be paid if an emergency arises? A) Savings ratio B) Debt ratio C) Liquidity ratio D) Debt payments ratio E) Current ratio

C) Liquidity ratio

31) Which of the following expenses is NOT usually incurred by a tenant? A) Security deposit. B) Renter's insurance. C) Property taxes. D) Utilities (other than water). E) None of these are incurred.

C) Property taxes.

16) The question "What are your assets and net worth?" relates to A) Collateral. B) Capacity. C) Conditions. D) Capital. E) Character.

D) Capital.

44) Major factors that affect the affordability of your mortgage include all of the following except A) The amount available for a down payment. B) Length of the loan. C) Income. D) Size of the home. E) Current mortgage rates.

D) Size of the home.

2) What should a home buyer consider when evaluating a house? A) Zoning laws. B) Location of businesses and future construction projects. C) School system. D) Property values of the community. E) All of these should be evaluated.

E) All of these should be evaluated

46) Zoe wants to accumulate $12,000 in her savings account for her dream vacation. What type of computation would she use to calculate her monthly deposits to her account? A) Future value of a single amount B) Annuity given a present value C) Future value of an annuity D) Present value of an annuity E) Annuity given a future value

E) Annuity given a future value

46) Which of the following is an account used to pay property taxes and homeowner's insurance? A) Deed B) PMI C) Points D) Mortgage E) Escrow

E) Escrow

31) Which of the following is an example of a financial opportunity cost? A) Renting an apartment near school B) Using a personal computer for financial planning C) Purchasing automobile insurance D) Organizing income tax records E) Forgoing wages to attend school

E) Forgoing wages to attend school

28) If a $10,000 investment earns a 7% annual return, what should its value be after 6 years? A) $15,010 B) $15,000 C) $10,000 D) $10,700 E) $15,100

A) $15,010

37) Ron wants to retire in 20 years with $1,000,000. If he can earn 10% per year on his investments, how much does he need to deposit each year to reach his goal? Round your answer to the nearest dollar. A) $17,460 B) $18,238 C) $11,746 D) $25,015 E) None of these choices are correct.

A) $17,460

16) Ted paid taxes of $4,375 on a taxable income of $32,000. What was his average tax rate? A) 13.7% B) 15% C) 25% D) 28% E) 10%

A) 13.7%

23) You have a $ 12,000 48-month 8% car loan. Your total payments over the life of the loan add to A) 14,062 B) 15,237 C) 13,895 D) 14,890 E) 12,960

A) 14,062

33) Given the following information, calculate the debt payments ratio: Liabilities = $25,000 Liquid assets = $5,000 Monthly credit payments = $800 Monthly savings = $760 Net worth = $75,000 Current liabilities = $2,000 Take-home pay = $2,300 Gross income = $3,500 Monthly expenses = $2,050 A) 34.78% B) 33.79% C) 21.71% D) 2.40% E) 3.06%

A) 34.78%

7) Max has the following tax records for tax year 2018: Standard Deduction: $12,000 Interest: $1,200 Dividends: $2,300 Mortgage Interest: $3,000 (itemized) IRA contributions: $6,000 Total Medical Expenses: $1,800 (itemized) Property Taxes: $3,500 (itemized) Wages: $ 62,500 The treshold for medical and dental expenses is 10% od AGI. Max's Taxable Income is A) 48,000 B) 36,000 C) 51,500 D) 51,500 E) 54,000

A) 48,000

29) Nick earned 8% in his savings account. If he is in the 28% tax bracket, what is his after-tax savings rate of return? A) 5.76 B) 5.20 C) 2.24 D) 8.00 E) 6.25 2

A) 5.76

20) Jim is not concerned about immediate tax benefits but instead wants his investment to grow in value on a tax-free basis. Which of these would be the best for him to invest in today? A) A Roth IRA B) A tax-deferred annuity C) A 401(k) plan D) Municipal bonds E) A Section 529 savings plan

A) A Roth IRA

45) The problem of bankruptcy is associated with overuse and misuse of credit in the ________ component of financial planning. A) Borrowing B) Savings C) Obtaining D) Sharing E) Protecting

A) Borrowing

3) Money management refers to A) Day-to-day financial activities. B) Preparing personal financial statements. C) Trade-offs that occur with financial decisions. D) Storing financial records for easy access. E) Spending money on current living expenses.

A) Day-to-day financial activities.

43) To develop financial goals, one should A) Identify specific, realistic goals that are measurable along with a time frame and an action plan B) Only set long-term goals after short-term goals have been accomplished C) Not worry about whether or not the goals can be achieved based on one's income and life situation D) Set several general goals for the short-term E) Focus on intermediate goals first

A) Identify specific, realistic goals that are measurable along with a time frame and an action plan

34) Lia wants to take out a 4 year loan to purchase a car. What type of computation would she use to calculate her monthly payments? A) Present value of an annuity B) Simple interest C) Future value of an annuity D) Present value of a single amount E) Future value of a single amount

A) Present value of an annuity

18) Income that is taxed at a later date is A) Tax-deferred income. B) Earned income. C) Tax-exempt income. D) Adjusted gross income. E) Exclusions from income.

A) Tax-deferred income.

17) If Sue was in a 25% tax bracket and received a $1,000 tax credit, by how much would her taxes be reduced? A) $25 B) $1,000 C) $50 D) $500 E) $250

B) $1,000

22) You have a $300,000 30-year 5% mortgage. Your monthly payment is A) $1,805 B) $1,610 C) None D) $1,856 E) $1,665

B) $1,610

27) Sue wants to buy a new car. She can afford to pay $ 2,400 a year. The bank offers a rate of 5% for five year loans. How much would she be able to borrow from the bank? A) 10,908 B) $10,391 C) 3,063 D) 13,261 E) 1,880

B) $10,391

8) Lia is looking for a new apartment. What are her total annual costs associated with renting? Monthly Rent Payments $ 1,000 Annual renter's insurance $ 250 Annual Interest lost in security deposit $ 20 Annual Property Taxes $ 2,400 A) $12,220 B) $12,270 C) $12,250 D) $14,670 E) $12,000

B) $12,270

18) Given the information here, what is the annual cost of owning? • Home value $ 300,000 • Annual mortgage payments $ 19,200 • Annual property taxes $ 4,800 • Annual homeowner's insurance $ 1,200 • Annual maintenance expense 1 % of home value • Growth in equity $ 3,000 • Tax savings (mortgage interest and property tax) $ 2,800 • Estimate annual appreciation 1.5 % of home value A) $25,200 B) $17,900 C) $38,500 D) $19,400 E) $28,200

B) $17,900

12) Using the following information, what is the cost to lease a car? • Security deposit $300 • Monthly lease payment $300 per month for a five-year lease • Opportunity cost of security deposit 300 × loan period (in years) × 2% interest • End-of-lease charges 500 A) $18,000 B) $18,530 C) $19,030 D) $18,560 E) $18,830

B) $18,530

2) Zsa budgeted $1,500 for housing and utilities in July. She actually spent $1,460. What is her budget variance? A) $1,160 surplus B) $40 surplus C) $1,160 deficit D) $60 deficit E) $40 deficit

B) $40 surplus

41) Hannah has liabilities totaling $30,000 (excluding her mortgage of $100,000). Her net worth is $45,000. What is her debt-to-equity ratio? A) 1.30 B) .67 C) .45 D) 1.00 E) .75

B) .67

3) Tim has net monthly income of $4,800. He has a monthly auto loan payment of $350, a student loan payment of $150, a mortgage payment of $1,000, and a credit card minimum payment of $145. What is his debt-payments-to-income ratio? A) 34.3% B) 13.4% C) 31.3% D) 10.4% E) 10.3%

B) 13.4%

41) Given the following information, calculate the current ratio: Liquid assets = $5,500 Monthly credit payments = $800 Monthly savings = $760 Net worth = $75,000 Current liabilities = $2,100 Take-home pay = $2,300 Gross income = $3,500 Monthly expenses = $2,050 A) 1.12 B) 2.62 C) 0.66 D) 0.41 E) 2.39

B) 2.62

40) Beth wants to buy a new car. She needs to borrow $ 20,600. The local credit union offers 5 year 3.6% fixed rate loans. Her monthly payment woul be A) $399 B) 376 C) 401 D) $387 E) $356

B) 376

28) A drawback of a regular savings account is A) Not being insured. B) A low rate of return. C) A possible penalty for early withdrawal. D) A minimum required deposit. E) All of these are drawbacks of a regular savings account.

B) A low rate of return

15) Mary wants to have an interest rate that can increase or decrease during the life of her loan. She should look for a(n) A) VA loan. B) ARM. C) Second mortgage D) Negative amortization. E) FHA loan.

B) ARM.

5) Future value computations are often referred to as A) An annuity. B) Compounding. C) Present value. D) Discounting. E) Simple interest.

B) Compounding.

24) Individuals can file their federal taxes using all of the following except A) Electronic filing using Free File Alliance. B) Deliver in person. C) Use tax preparation software to print and mail. D) Use tax preparation software to file online. E) All of these can be used.

B) Deliver in person.

14) A credit report includes A) Credit card statements B) Detailed credit information C) Bank statements D) All previous employers E) All of these

B) Detailed credit information

29) A tax due on the purchase of gasoline is called a(n) A) Income tax. B) Excise tax. C) Estate tax. D) Real estate property tax. E) Inheritance tax.

B) Excise tax.

10) A formalized report that summarizes your current financial situation, analyzes your financial needs, and recommends future financial activities is a(n) A) Investment forecast. B) Financial plan. C) Statement. D) Insurance prospectus. E) Budget.

B) Financial plan.

23) Tim received a $15,000 gift from his grandparents. He wants to invest this money for the down payment of a house that he plans to purchase in 3 years. What type of computation should he use? A) Future value of an annuity B) Future value of a single amount C) Present value of a single amount D) Simple interest E) Present value of an annuity

B) Future value of a single amount

14) This tax is a major financial planning factor for most people because it is sometimes imposed at the federal, state, and local levels. A) Sales tax B) Income tax C) Estate tax D) Real estate property tax E) Excise tax

B) Income tax

26) The rate used to calculate the tax due on the next dollar of income is referred to as the A) Income tax rate. B) Marginal tax rate. C) AMT. D) Average tax rate. E) Total tax rate.

B) Marginal tax rate.

9) Discretionary income equals A) Gross income. B) Money left over after paying for housing, food, and other necessities. C) Take-home pay. D) The amount being saved each month. E) Social Security taxes.

B) Money left over after paying for housing, food, and other necessities.

22) Which of the following would increase the interest rate for a loan? A) Short time to maturity B) Poor credit rating C) Expected lower inflation D) Higher down payment E) Lower consumer prices

B) Poor credit rating

12) Taxes on earnings that fund old age, survivor, and disability insurance benefits are called A) Real estate property taxes. B) Social Security taxes. C) Estate taxes. D) Excise taxes. E) Sales taxes.

B) Social Security taxes

50) According to Tax Service Warnings, who is responsible for supplying accurate and complete information for completing a tax return? A) IRS enrolled agent B) Taxpayer C) Professional tax preparer D) Taxpayer's dependents E) Taxpayer's attorney

B) Taxpayer

37) Which of the following is often the first sign of a stolen identity? A) You receive a duplicate credit card from your credit card company. B) You receive bills for a credit card account you never opened. C) You see charges to your account for things you purchased. D) You receive a phone call from the thief. E) All of these are typical signs of a stolen identity.

B) You receive bills for a credit card account you never opened.

36) A worker's primary goal should be to A) Pay no income taxes. B) Pay his or her taxes using estimates for income and deductions. C) Pay his or her fair share of taxes while taking advantage of appropriate tax benefits. D) Pay no taxes of any type. E) Pay the average tax rate for people working in his or her industry.

C) Pay his or her fair share of taxes while taking advantage of appropriate tax benefits

40) Which of the following are two personal financial statements that you create yourself? A) Checkbook and budget B) Tax returns C) Personal balance sheet and cash flow statement D) Bank statement and a balance sheet E) Budget and credit card statements

C) Personal balance sheet and cash flow statement

4) The text identifies several phases in the research-based buying process. The correct order of the phases is A) Post-purchase activities, evaluating alternatives, pre-shopping activities, selection and purchase. B) Pre-shopping activities, selection and purchase, evaluating alternatives, post-purchase activities. C) Pre-shopping activities, evaluating alternatives, selection and purchase, post-purchase activities. D) Evaluating alternatives, pre-shopping activities, selection and purchase, post-purchase activities. E) Evaluating alternatives, selection and purchase, pre-shopping activities, post-purchase activities.

C) Pre-shopping activities, evaluating alternatives, selection and purchase, post-purchase activities.

21) Which of the following intermediate goals is stated most clearly using the SMART approach? A) Buy a car for less than $15,000 within 6 months B) Retire in 10 years at age 65 with $2,000,000 in my 401(k) account C) Purchase a house within the next 5 years with a mortgage no greater than $150,000 D) Set up an emergency fund E) Invest $50 per month for the next 12 years for my nephew's college fund

C) Purchase a house within the next 5 years with a mortgage no greater than $150,000

42) Which of the following goals would be the easiest to implement and measure? A) Save funds for an annual vacation. B) Put money into an investment fund. C) Save $100 a month to create a $2,400 emergency fund in 2 years. D) Reduce credit card debt. E) Spend less each month.

C) Save $100 a month to create a $2,400 emergency fund in 2 years.

4) The inability to pay debts when they are due because liabilities far exceed the value of assets is called A) Net worth. B) Liquid assets. C) Cash flow. D) Liabilities. E) Insolvency

E) Insolvency.

38) If Ava estimates that her $100 weekly grocery bill will increase at an annual inflation rate of 4%, what should her weekly grocery bill be in 3 years? A) $100.00 B) $112.00 C) $114.00 D) $112.50 E) $121.60

D) $112.50

11) Sam and Diane are completing their federal income taxes for the year and have identified the amounts listed here. How much can they rightfully deduct? • AGI: $80,000 • Total Medical and dental expenses: $9,000 • State income taxes: $3,500 • Mortgage interest: $9,500 • Charitable contributions: $1,000 A) $23,000. B) $20,000. C) $57,000. D) $15,000. E) $14,000.

D) $15,000.

11) Using the following information, what is the cost to buy a car? • Down payment $3,000 • Monthly loan payment $350 per month for a five-year loan • Opportunity cost of down payment $3,000 × loan period (in years) × 2% interest • Estimated value of vehicle at end of ownership period $4,000 A) $28,000. B) $24,300. C) $24,000. D) $20,300. E) $28,300.

D) $20,300.

49) Gross income less Adjustments to Income equals A) Tax-deferred income. B) Exclusions from income. C) Tax-exempt income. D) Adjusted gross income. E) Earned income.

D) Adjusted gross income

25) Which of the following situations describes a person who could be insolvent? A) Annual cash inflows $56,200; annual expenses $60,300 B) Annual cash inflows $45,200; liabilities $50,300 C) Liabilities $45,200; net worth $6300 D) Assets $40,200; liabilities $51,900 E) Assets $78,200; net worth $22,300

D) Assets $40,200; liabilities $51,900

15) The tax rate based on the total tax due divided by taxable income is called the A) Income tax rate. B) AMT. C) Total tax rate. D) Average tax rate. E) Marginal tax rate.

D) Average tax rate

32) The document that would report your current financial position is the A) Bank statement. B) Cash flow statement. C) Budget. D) Balance sheet. E) Credit card statement.

D) Balance sheet

39) Which of the following is an example of a financial opportunity cost? A) Organizing income tax records B) Using a personal computer for financial planning C) Purchasing automobile insurance D) Forgoing wages to attend school E) Renting an apartment near school

D) Forgoing wages to attend school

13) Paul wants to deposit a lump sum of money today for a vacation that he plans to take to Asia after he graduates from Graduate School. Which formula should he use to determine the amount of money he will have available for his vacation? A) Present value of a single amount B) Simple interest C) Present value of an annuity D) Future value of a single amount E) Future value of an annuity

D) Future value of a single amount

8) An investor should expect to receive a risk premium for A) Lower consumer prices B) Reduced credit ratings C) Higher interest rates D) Higher uncertainty about getting his/her money back E) Expected lower inflation

D) Higher uncertainty about getting his/her money back

35) A joint account with Sara and John allows A) Sara or John to complete a signature card. B) Only John to write checks. C) Only Sara to write checks. D) John and Sara to both write checks on the account. E) All of these.

D) John and Sara to both write checks on the account.

34) Which of the following is NOT a benefit of home ownership? A) Personalized living location B) Deductibility of real estate taxes C) Deductibility of mortgage interest D) Maintenance and costs of repairs and home improvements E) Stability of residence

D) Maintenance and costs of repairs and home improvements

42) The primary benefit of a home equity loan is A) Its limited availability. B) Tax-free income in the form of a loan. C) The required monthly payments. D) The deductibility of the loan interest on federal taxes. E) All of the above are primary benefits.

D) The deductibility of the loan interest on federal taxes.

10) All of the following are variable operating costs for a vehicle except A) Maintenance and repairs. B) Gasoline and oil. C) Tires. D) Depreciation. E) Parking

Depreciation

6) If Jack was in a 25% tax bracket and received a $1,000 tax deduction, by how much would his taxes be reduced? A) $50 B) $500 C) $25 D) $1,000 E) $250

E) $250

32) Evan had three accounts as listed below. How much was his total insurance coverage by the FDIC? • Bank A: $150,000 • Bank B: $50,000 • Bank C: $400,000 A) $350,000 B) $500,000 C) $400,000 D) $550,000 E) $450,000

E) $450,000

27) Suppose you borrow $600 for one year and pay a finance charge of $40. If you repay this loan (principal plus interest) all at once after one year, what is your average balance? A) $53 B) $320 C) $300 D) $640 E) $600

E) $600

51) If you begin saving $2,000 a year at 5% (from age 25 to age 44 or 20 years), what will these funds grow to in this time period? A) $60,560 B) $24,924 C) $50,324 D) $48,065 E) $66,132

E) $66,132

53) Using the following table, calculate the taxes for an individual with taxable income of $45,000. 10% Up to $8,500 15% $8,500-$34,500 25% $34,500-$83,600 28% $83,600-$174,400 33% $174,400-$379,150 35% Over $379,150 A) $6,025 B) $20,900 C) $45,000. D) $8,625 E) $7,375

E) $7,375

47) Eda is completing her federal income taxes for the year and has identified the amounts listed here. How much can she rightfully deduct? The threshold for medical and dental expenses is 10% of AGI. • AGI: $42,000 • Total medical and dental expenses: $1,100 • State income taxes: $1,000 • Mortgage interest: $7,000 • Charitable contributions: $1,250 A) $8,250 B) $3,350 C) $7,000 D) $10,350 E) $9,250

E) $9,250

13) Becka borrowed $100 from her cousin at the rate of 6% per year. If the inflation rate was 2% that year, what is her cousin's actual rate of return on the loan? A) 6% B) 8% C) 10% D) 2% E) 4%

E) 4%

25) When misused, credit can result in A) A less satisfying life. B) Default. C) Bankruptcy. D) Loss of creditworthiness. E) All of the above.

E) All of the above.

52) The major sections of Form 1040 include all of the following except A) Tax credits. B) Filing status and exemptions. C) Adjustments to income (AGI). D) Signature. E) All of these are major sections of Form 1040

E) All of these are major sections of Form 1040.

48) The main purposes of personal financial statements are to A) Measure your progress toward financial goals. B) Maintain information about your financial activities. C) Provide data for preparing tax forms or applying for credit. D) Report your current financial position. E) All of these choices are correct

E) All of these choices are correct

36) Which of the following questions is NOT needed before deciding how and when to make a major purchase? A) Do I have the cash I need for the down payment? B) Could I postpone the purchase? C) Does the purchase fit my budget? D) Could I use the credit I need for this purchase in some better way? E) All of these questions should be considered

E) All of these questions should be considered

7) Sam bought a laptop that was defective. This laptop will be fixed or replaced by the manufacturer as long as he returns it in a reasonable amount of time. What type of warranty does he have on his laptop? A) Limited warranty B) "As-is" warranty C) Express warranty D) Implied warranty E) Full warranty

E) Full warranty

44) Sam plans to deposit $150 per month into an account earning 4 percent . What type of computation would he use to determine the amount he will have accumulated after three years? A) Future value of a single amount B) Simple interest C) Present value of an annuity D) Present value of a single amount E) Future value of an annuity

E) Future value of an annuity

17) Which of the following refers to the opportunity to withdraw your money on short notice without incurring a loss in value? A) Rate of return B) Compounding C) Minimum deposit D) Safety E) Liquidity

E) Liquidity

9) Which of the following is an advantage of a car lease? A) The total cost of a lease may be higher than a purchase. B) A large down payment is required. C) At the end of the lease, you have no ownership interest in the vehicle. D) The capitalized cost is usually higher than the list price. E) Monthly lease payments are usually lower than monthly financing payments

E) Monthly lease payments are usually lower than monthly financing payments.

33) Sue paid extra money to reduce her mortgage interest rate. That extra money is called A) Amortization. B) Escrow. C) Lock. D) PMI. E) Points.

E) Points.

26) The expected value of a vehicle at the end of a lease is called the A) Invoice price. B) Sticker price. C) Set price. D) Capitalized cost. E) Residual value.

E) Residual value.

30) This is a written guarantee from the manufacturer that specifies the conditions under which the product can be returned, replaced, or repaired. A) Coupon B) Open dating C) Rebate D) Unit pricing E) Warranty

E) Warranty