Take a look at the sentence again:
____________ on the kitchen counter, the chocolate chip cookie teased Spencer
the Chihuahua, who sat on the linoleum, whining and drooling.
The chocolate chip cookie is resting on the counter. Thus, you need a form of lie. The sentence requires a present participle. Consult the table below or review the rules.
Infinitive | Definition | Simple Present | Simple Past | Past Participle | Present Participle |
to lay | to put something down | lay(s) | laid | laid | laying |
to lie | to rest or recline | lie(s) | lay | lain | lying |