ABC CoHas a Calendar Year-End

ABC Co.has a calendar year-end.The final merchandise purchase recorded in the system was for PO #456,received January 3^rd.The ending inventory count excluded this shipment.Assuming shipping terms on PO #456 were FOB shipping point,what misstatement,if any,exists in ABC records?

A) Cost of goods sold has been understated,gross profit,net income,inventory,and owners' equity have been overstated.
B) Cost of goods sold has been overstated,gross profit,net income,inventory,and owners' equity have been understated.
C) There is no misstatement in ABC's accounts.
D) Cost of goods sold and accounts payable have been overstated,net income and owners' equity have been understated.