Mama June Pizza Company Determined That Dough, Sauce, Cheese and Other

Multiple Choice

Mama June Pizza Company determined that dough, sauce, cheese and other ingredients costing $8,700 were used to make pizzas during July. Which of the following statements is false with respect to the use of the ingredients?

A) Cost of goods sold was debited for $8,700.
B) Operating expenses increased $8,700.
C) Operating income decreased $8,700.
D) Supplies was debited for $8,700.