Which of the Following Reflects Proper Use of the Term

Which of the following reflects proper use of the term "reserve" in the preparation of financial statements?

A) The term used to describe amounts deducted from assets, such as "reserve for depreciation."
B) The initial term used in connection with an estimated liability, such as "estimated reserve for product warranty."
C) The term used to describe the setting aside of funds for the subsequent payment of an existing liability, such as "reserve for bonds payable."
D) The term used to describe an appropriation of retained earnings in the stockholders' equity section of the balance sheet.