computer chip modifier

Often, the most important starting place in an SC question is to identify the main subject and verb of the sentence. What are we really talking about here? The main subject is COMPUTER CHIP and the main verb is HAS BEEN INSERTED. Everything else is describing that chip - where it is and what it contains.

Start by looking for subject/verb agreement. Since COMPUTER CHIP is the only subject (biometric data, electronic fingerprints, etc, are all modifiers), the verb should be singular: HAS. You can eliminate any answer choices with the plural HAVE. Eliminate A, C and D.

Looking at B and E, the difference is PARALLELISM. In B, it starts off by saying A computer chip, embedded..., containing...
We would expect this to be a list of participles: embedded, containing, and possessing or something. Instead, our list switches to a list of nouns: containing biometric data, ... fingerprints, pictures... etc. We can switch from a list of modifiers to a list of nouns.

In E, the modifier "embedded in the back cover" is placed at the beginning of the sentence, so that the modifier "containing ... data, fingerprints, pictures, and a transmitter" can make sense as a list of nouns.

Start by finding the main subject and verb, then ask yourself how everything else is working to modify them. Be aware that any time you have a list, you should be checking to see if the list is parallel.