The Accountant for the Lintz Sales Company Is Preparing the Income

The accountant for the Lintz Sales Company is preparing the income statement for 2015 and the statement of financial position at December 31, 2015.The January 1, 2015, merchandise inventory balance will appear

A) only as an asset on the statement of financial position.
B) only in the cost of goods sold section of the income statement.
C) as a deduction in the cost of goods sold section of the income statement and as a current asset on the statement of financial position.
D) as an addition in the cost of goods sold section of the income statement and as a current asset on the statement of financial position.