Measuring direct teaching costs: Does an undergraduate business degree cost more to produce than a nonbusiness degree?

Abstract

ABSTRACTMany universities have implemented tuition differentials for certain undergraduate degree programs, citing higher degree costs or higher demand. However, most college accounting systems are unsuited for measuring cost differentials by degree program. This research outlines a method that can convert commonly available financial data to a more appropriate form for cost analysis. Results show that the average faculty teaching salary cost differs between degree programs, but that these differences are more a function of class size and success rates than average faculty salaries.