If in the Current Year a Purchase Was Not Recorded

If in the current year a purchase was not recorded but the purchased item was included in ending physical inventory, which one of the following situations occurs for the current year?

A) Working capital is understated, and net income is overstated.
B) Working capital and net income are understated.
C) Working capital is overstated, and net income is understated.
D) Working capital and net income are overstated.