Here is the sentence:

When Carol went hunting through the kitchen for a midnight snack, she found a stale chocolate chip cookie __________ in a crumpled bag on top the refrigerator.

The stale Oreo is resting in the bag. Thus, you need a form of lie. The blank requires a present participle. You chose the correct form from the table below. Good job!

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

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