WorldCom improperly accounted for its line cost expense by:

(a) Allocating line-cost expense to PPE in its first recording of the line-cost transactions.

(b) Initially properly debiting the line-cost expense to an expense account and later transferring the expense to PPE.

(c) Misclassifying part of its line-cost expense as goodwill.

(d) Adding its line-cost expense to inventory to reduce cost of goods sold.