Indicate which of the following descriptions is most likely to describe each cost listed below.

Description                                                    Costs ______________________________

Engineered cost                    Annual cost of maintaining an interstate highway

Committed cost                    Cost of ingredients in a breakfast cereal

Discretionary cost                Cost of advertising for a credit card company

                                                Depreciation on an insurance company’s computer

                                                Cost of charitable donations that are budgeted as 1 percent of sales revenue

                                                Research and development costs, which have been budgeted at $45,000 per year