One Hundred Units of Inventory on Hand at the End

Multiple Choice

One hundred units of inventory on hand at the end of the year are recorded at their cost of $10 each using LIFO.Current replacement cost is $8.00.How would the Cost of goods sold be affected by the adjusting entry needed under lower-of-cost-or-market?

A) Cost of goods sold would not be affected.
B) Cost of goods sold would go down by $80.
C) Cost of goods sold would go up by $200.
D) Cost of goods sold would go down by $200.