Which of the following defines Discretionary Cost Center the most?

Select one:

1. A group responsible not only for profits, but also for the return on funds invested in the group's operations.
2. A responsibility center in which managers are held accountable for incurring certain costs.
3. A group in which a manager is held responsible for controllable costs when the relationship between the center's costs and its services or products is well-defined.
4. A responsibility center in which managers are held accountable for both revenues and expenses.