; and (5) by adding at the end the following new subsection: (e) Definitions As used in this section: (1) Accrued interest The term accrued interest means interest accrued on accrued royalties, as described in subsection (d)(3)(H)(ii). (2) Accrued royalties The term accrued royalties means royalties accrued for the reproduction or distribution of a musical work (or share thereof) in a covered activity, calculated in accordance with the applicable royalty rate under this section. (3) Administrative assessment The term administrative assessment means the fee established pursuant to subsection (d)(7)(D). (4) Audit The term audit means a royalty compliance examination to verify the accuracy of royalty payments, or the conduct of such an examination, as applicable. (5) Blanket license The term blanket license means a compulsory license described in subsection (d)(1)(A) to engage in covered activities. (6) Collective total costs The term collective total costs — (A) means the total costs of establishing, maintaining, and operating the mechanical licensing collective to fulfill its statutory functions, including— (i) startup costs; (ii) financing, legal, and insurance costs; (iii) investments in information technology, infrastructure, and other long-term resources; (iv) outside vendor costs; (v) costs of licensing, royalty administration, and enforcement of rights; (vi) costs of bad debt; and (vii) costs of automated and manual efforts to identify and locate copyright owners of musical works (and shares of such musical works) and match sound recordings to the musical works the sound recordings embody