A circle drawn inside a rectangle is limited by the smaller dimension, since the circle must touch both long sides without crossing them, so its diameter cannot exceed the 12 cm width. Taking the diameter as 12 cm gives radius 6 cm. Using $\pi \approx 3.1416$, area $= 3.1416 \times 36 \approx 113.1$ square cm, matching the closest listed value. $\boxed{113 \text{ cm}^2}$