Option C is valid COBOL syntax: FILLER with PIC X(40) and VALUE in quotes. Option A is invalid because '$' cannot appear in a PIC clause - PIC clauses use only format symbols like 9, X, Z, etc. Option B is invalid because 'VALUE IS ALL *' is not correct COBOL VALUE clause syntax. Option D is invalid because a VALUE clause for an alphanumeric PIC X field must be a quoted string, not a numeric literal 123456.