The correct answer is: D. budgeted cost.
A budgeted cost is a cost that is estimated or predicted to be incurred in the future. It is based on historical data, current economic conditions, and other factors. Budgeted costs are used to create budgets, which are financial plans that outline how a company expects to spend its money.
Past costs are costs that have already been incurred. They are used to track a company’s financial performance and to make decisions about future costs.
Incurred costs are costs that have been incurred but have not yet been paid. They are recorded in the accounting system as liabilities.
Actual costs are costs that have been incurred and paid. They are used to compare to budgeted costs to see how well a company is controlling its costs.