Cara,Inc Purchased Supplies Costing $£ 2,500$ On January 1,2011 and Recorded the Transaction by Increasing Assets

Cara,Inc. purchased supplies costing $£ 2,500$ on January 1,2011 and recorded the transaction by increasing assets. At the end of the year 1,300 of the supplies are still on hand. If Cara, Inc. does not make the appropriate adjusting entry, what is the impact on its statement of financial position at December 31,2011 ?

A) Assets overstated by $£ 1,200$ .
B) Equity understated by $£ 1,200$ .
C) Equity overstated by $£ 1,300$ .
D) Assets overstated by $£ 1,300$ .