Yes, it's 14 days > Apple Sales and Refund Policy
As far as covering postage, you get free shipping to have the product sent to you but you would have to pay for shipping back to Apple.
See: Free shipping > http://store.apple.com/us/browse/home/shop_ipod/family/apple_tv
To ship your return item(s) to Apple, sign in to online Order Status with your Apple ID and password.
After you sign in, you will see the items on your most recent order. Locate the item you want to return and click the Return Items link. On the next page, select the item(s) you would like to return and click the Continue button.
Next, verify the return item(s) and the return address on your address label. Once you have verified your return details, click the Print Now button to print your address label and packing slip. Affix the address label to the outside of your return box. If you have multiple items to return, you may pack them in a single box with the packing slip. We recommend using the original packaging if you are returning a computer.
Once we receive the item(s), we will issue a refund and send you a Return Receipt confirmation email.
From here > Returns & Refunds - Apple Store (U.S.)
