According to a purchase agreement, the buyer has the right to a final inspection. The cost of this inspection will be paid from the earnest money deposit.

The phrase "automatically" suggests that the inspection cost will be covered without any conditions or agreements. However, such costs usually depend on the terms outlined in the purchase agreement, meaning they are not automatically incurred without prior agreement.

This choice implies that the buyer's right to have the inspection cost covered is contingent solely on the findings of misrepresentation. In reality, the agreement must specify conditions regarding the inspection and its costs, rather than focusing exclusively on whether misrepresentation is found.

"Under no circumstances" indicates that there would be no provision for covering the inspection cost from the earnest money deposit. This is incorrect, as the agreement may allow for such a cost, contingent upon prior written agreement from both parties regarding the inspection.