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

Go to the next sentence.

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