Leon started a project to design and create a new video game for the animation studio where he develops graphics and animations for video games and moves. Which item below would be considered an overhead cost? Packaging for the video game Existing computers used by staff during the project Animations created for the game Research time to develop characters and stories

To determine which item would be considered an overhead cost, let's first define what overhead costs are. Overhead costs are expenses that are not directly tied to a specific project or product but are necessary for the overall operation of a business. These costs typically include things like rent, utilities, salaries of support staff, and equipment that is used across multiple projects. Now, let's analyze each option: 1. **Packaging for the video game**: This is a direct cost associated with the production of the video game, as it is specifically tied to the product itself. 2. **Existing computers used by staff during the project**: This can be considered an overhead cost because the computers are not directly tied to the production of the video game but are necessary for the staff to perform their work. 3. **Animations created for the game**: This is a direct cost, as it is specifically related to the creation of the video game. 4. **Research time to develop characters and stories**: This is also a direct cost, as it is specifically related to the development of the game content. Based on this analysis, the item that would be considered an overhead cost is: **Existing computers used by staff during the project.**