Refer to the T-account below: Entry (12) could represent which of the following?

A) Direct labor cost incurred in production.
B) Purchases of raw materials.
C) The cost of goods manufactured transferred to Finished Goods.
D) The cost of indirect materials incurred in production.

Direct Labor Cost

The expense incurred by a company to pay workers who are directly involved in the production of goods or services.

Cost of Goods Manufactured

The total production cost incurred by a company to manufacture products in a specific period, including materials, labor, and overhead costs.