X and Y. are in a consignment contract, where X (consignor) will physically give Y (consignee) its inventory to be sold to the customers directly. In this agreement, Y hold's X's inventory at its store and sells the inventory to the customer and further remits the total payment to X. Based on this scenario, which of the following statements are true? Question 5 options:

Effective control of the inventory has passed from X (consignor) to Y (consignee)

Y (consignee) recognizes X's inventory on their accounting books

X (consignor) holds legal title over X's inventory

Y (consignee) holds legal title over X's inventory