Activity-based costing method and its application in private education institution

In the markets of nowadays in which the rate of competition has been increasing even more, to be able to get access to correct information is becoming ever more important for the institutions. Thus, it is also becoming more important for the private education institutions, which have been increasingly growing and gaining significance, to be able to determine the costs correctly. The increasing of the number of private education institutions brought the competition with. It is important that to be able to calculate their costs correctly in order to be able to compete in the market for the private education institutions.This study has been done to be able to assess the applicability of activity based cost management in a private education institution. A private education institution in Ankara was chosen as a model and the differences between the applicability of management through activity based costing and traditional costing systems were tried to be explained.In this study, in the first chapter information is provided about basic costing concepts, cost accounting methods, the influence of technological developments on these methods, the development of modern accounting methods and about private education institutions.In the second chapter, activity based costing method has been examined as general.In the third chapter, the application of activity based costing method is explained in a private education institution and is examined by comparing to a realized accounting according to traditional method.Key Words: Costing, Activity Based Costing Method, Education Institution.