Wilma Has a $25,000 Certificate of Deposit (CD) at the Local

Wilma has a $25,000 certificate of deposit (CD) at the local bank. The interest on this certificate, $1,000, was credited to her account this year but she must pay an early withdrawal penalty if she cashes in the CD before next year. Which of the following is a true statement?

A) Wilma must include the $1,000 of interest in her income this year.
B) Wilma must include the $1,000 of interest in her income when she cashes the CD.
C) Wilma must include the $1,000 of interest in her income this year only if the bank waives the early withdrawal penalty.
D) Wilma must include the $1,000 of interest in her income next year if she does not pay the early withdrawal penalty.
E) All of the above