Specific Product, Inc. shipped 100 million coupons in products it sold in 2010. The coupons are redeemable for thirty cents each. Specific anticipates that 70% of the coupons will be redeemed. The coupons expire on December 31, 2011. There were 45 million coupons redeemed in 2010, and 30 million redeemed in 2011.

What was Specifics coupon liability as of December 31, 2010?

a. $7.5 million. b. $13.5 million. c. $16.5 million. d. $21.0 million.