ACCT Class Case - Have this assignment available during the synchronous session for reference. Submit this completed assignment online by the due date.

Step 1: For each item listed, indicate if the cost or expense is discretionary or committed. Provide a concise, defendable explanation (rational) which supports your conclusion related to the classification of cost or expense. Be critical in your thinking and application.

Determine the total savings if all discretionary items were eliminated.

Description	Amount	Discretionary	Committed	Explanation (Rationale)
Monthly Product Advertising	$ 47, 000
Monthly Vehicle repair and maintenance	20,000
Monthly Company Health Insurance	15,000
Monthly Management salaries	85,000
Monthly Payment of long-term debt	50,000
Annual Property tax for building owned by company	32,000
Weekly Grounds maintenance for owned property	9,000
Office remodeling of owned property	21,000
Monthly Research and development for new product development	36,000
Totals	$315,000

Step 2: Explain if a cost is the same as an expense. Provide a concise justification for your logic.