Activity-based costing approach to handle the uncertainty costing of higher educational institutions : perspective from an academic college

الملخص EN

This paper is a genuine approach to reinvest the current state of costing and develop a challenging interest to implement Activity–Based Costing (ABC) to higher educational institutions by developing a model of ABC.

Higher Educational Institutions reach a far exceeding prices and a declining quality.

ABC is a system which helps in tracing out the costing incurred by each activity according to its demand or frequency of activities.

Thus, it helps a wide role to play at educational institutions to develop their cost management systems. This study develop a sound model for measuring costing methodology to implement to an academic college of Business Administration at Mutah University.

The result of this study found an achieving ABC dominance in the institutions, providing knowledge about the useful potential allocations of resources activities and its related drivers consumptions, in order to produce a cost product.

This might helps in creating and developing a knowledge of an accurate and relevant true costs of a courses which might give the students a clear view of the cost as well as a better impact to the administrative management.

This study concludes with a discussion that the implications of ABC system will help in assessing an accurate and better budgetary and programmatic issues of financial devolution as well as a part of broader activity–based management in universities.