12. The following costs are included in a recent summary of data for a company: advertising expense $85,000; depreciation expense - factory building $133,000; direct labor $250,000; direct material used $300,000; factory utilities $105,000; and sales salaries expense $150,000. Determine the dollar amount of conversion costs. A. $1,023,000 B. $550,000 C. $488,000 D. $235,000 E. $238,000