THE APPLICATION OF ACTIVITY BASED COSTING AS AN ALTERNATIVE MODEL IN DETERMINING STUDENT UNIT COST: A CASE STUDY OF MASTER OF BUSINESS ADMINISTRATION PROGRAM AT INSTITUT TEKNOLOGI BANDUNG

• Main Author: NUR ZAHIDAH (NIM : 29110406); Pembimbing : Prof.Dr.Ir. Sudarso Kaderi Wiryono, DEA., LAMYA
• Format: Theses
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/18817
• Institution: Institut Teknologi Bandung

Costs can be used as a primary consideration in determining the price of a product or service. Activity Based Costing model put activities as a main trigger for spending all budget costs. This study discusses the use of Activity Based Costing model as a basis for determining the unit cost in Master of higher education services which has a wide range of education services and a high percentage of overhead costs support the activity based costing model to become one of alternative financing model which can provide a comprehensive understanding of all the organization cost behavior. This research is conducted to calculate the student unit cost of any program offered by MBA ITB except the MBA Sharia program and MBA In House program. The typical of this research is descriptive-quantitative. The results shows that based on Activity Based Costing model, the real cost incurred by the institution is more than the tuition fees charged to the MBA ITB students. The results indicates that the unit cost calculation for MBA ITB Bandung is under costing (UC), meanwhile the unit cost for MBA ITB Jakarta is over costing (OC). These unit cost distortion further can be anticipated by optimizing activities that can add value to the services offered and reducing activities that do not add value to the services offered. This model not only can improve the effectiveness and efficiency of education services, but also can provide a significant positive impact in improving the accuracy of the unit cost calculation.