Volume 24, Issue 1 (4-2025)
JRUMS 2025, 24(1): 65-79 |
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Ethics code: IR.IUMS.REC.1402.774
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Mirzaee N, Zamandi M. Estimating the Total Cost of Student Education in the Pharmacy School of Iran University of Medical Sciences Using the Activity-Based Costing (ABC) Method in the Academic Year 2022-2023: A Descriptive Study. JRUMS 2025; 24 (1) :65-79
URL: http://journal.rums.ac.ir/article-1-7467-en.html
URL: http://journal.rums.ac.ir/article-1-7467-en.html
Tehran University of Medical Sciences
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Estimating the Total Cost of Student Education in the Pharmacy School of Iran University of Medical Sciences Using the Activity-Based Costing (ABC) Method in the Academic Year 2022-2023: A Descriptive Study
Negar Mirzaee[1], Mahmoud Zamandi[2]
Received: 12/08/24 Sent for Revision: 03/11/24 Received Revised Manuscript: 03/03/25 Accepted: 05/03/25
Background and Objectives: Universities, as the primary centers for training specialized human resources, require optimal budget allocation. Proper costing methods and accurate financial information are essential for achieving this goal. This study aimed to estimate the cost of training students at the School of Pharmacy using the Activity-Based Costing (ABC) method during the academic year 2022-2023.
Materials and Methods: This descriptive study collected cost information through interviews with financial and administrative officials of the college and its subordinate units, including accounting and administration departments, as well as accessible documents within the faculty. Costs were allocated from overhead to final activity centers. Overhead and intermediate center costs were distributed to final activity centers based on the defined cost-sharing bases. Subsequently, expenses related to the final activity centers, educational centers, and ultimately the cost per student were determined. Data were analyzed using descriptive statistics.
Results: The average cost of training a student in the General Doctorate of Pharmacy program was estimated at 3/299/069/132 Rials, while the cost for the Master of Pharmacy program was 2/699/238/381 Rials. Total overhead costs amounted to 20/445/323/691 Rials, with theoretical and practical units accounting for 7/636/030/003 Rials and 12/809/293/688 Rials, respectively. Dedicated expenses totaled 128/912/533/365 Rials, with theoretical and practical units representing 109/176/510/156 Rials and 19/736/023/209 Rials, respectively. Notably, nearly 90% of the costs were attributed to human resources.
Conclusion: The study findings highlight that personnel costs constitute the largest share of total expenses. Therefore, the highest priority should be given to enhancing the productivity of human resources to optimize costs effectively.
Keywords: Activity-based costing, Education costs, Pharmacy, Education economics
Funding: This study was funded by the International Vice-Presidency of Iran University of Medical Sciences.
Conflict of interest: None declared.
Ethical considerations: The Ethics Committee of Iran University of Medical Sciences approved the study (IR.IUMS.REC.1402.774).
Authors’ contributions:
- Conceptualization: Mahmoud Zamandi
- Methodology: Mahmoud Zamandi, Negar Mirzaee
- Data collection: Mahmoud Zamandi
- Formal analysis: Mahmoud Zamandi, Negar Mirzaee
- Supervision: Mahmoud Zamandi, Negar Mirzaee
- Project administration: Mahmoud Zamandi
- Writing – original draft: Mahmoud Zamandi, Negar Mirzaee
- Writing – review & editing: Mahmoud Zamandi, Negar Mirzaee
Negar Mirzaee[1], Mahmoud Zamandi[2]
Received: 12/08/24 Sent for Revision: 03/11/24 Received Revised Manuscript: 03/03/25 Accepted: 05/03/25
Background and Objectives: Universities, as the primary centers for training specialized human resources, require optimal budget allocation. Proper costing methods and accurate financial information are essential for achieving this goal. This study aimed to estimate the cost of training students at the School of Pharmacy using the Activity-Based Costing (ABC) method during the academic year 2022-2023.
Materials and Methods: This descriptive study collected cost information through interviews with financial and administrative officials of the college and its subordinate units, including accounting and administration departments, as well as accessible documents within the faculty. Costs were allocated from overhead to final activity centers. Overhead and intermediate center costs were distributed to final activity centers based on the defined cost-sharing bases. Subsequently, expenses related to the final activity centers, educational centers, and ultimately the cost per student were determined. Data were analyzed using descriptive statistics.
Results: The average cost of training a student in the General Doctorate of Pharmacy program was estimated at 3/299/069/132 Rials, while the cost for the Master of Pharmacy program was 2/699/238/381 Rials. Total overhead costs amounted to 20/445/323/691 Rials, with theoretical and practical units accounting for 7/636/030/003 Rials and 12/809/293/688 Rials, respectively. Dedicated expenses totaled 128/912/533/365 Rials, with theoretical and practical units representing 109/176/510/156 Rials and 19/736/023/209 Rials, respectively. Notably, nearly 90% of the costs were attributed to human resources.
Conclusion: The study findings highlight that personnel costs constitute the largest share of total expenses. Therefore, the highest priority should be given to enhancing the productivity of human resources to optimize costs effectively.
Keywords: Activity-based costing, Education costs, Pharmacy, Education economics
Funding: This study was funded by the International Vice-Presidency of Iran University of Medical Sciences.
Conflict of interest: None declared.
Ethical considerations: The Ethics Committee of Iran University of Medical Sciences approved the study (IR.IUMS.REC.1402.774).
Authors’ contributions:
- Conceptualization: Mahmoud Zamandi
- Methodology: Mahmoud Zamandi, Negar Mirzaee
- Data collection: Mahmoud Zamandi
- Formal analysis: Mahmoud Zamandi, Negar Mirzaee
- Supervision: Mahmoud Zamandi, Negar Mirzaee
- Project administration: Mahmoud Zamandi
- Writing – original draft: Mahmoud Zamandi, Negar Mirzaee
- Writing – review & editing: Mahmoud Zamandi, Negar Mirzaee
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Citation: Mirzaee N, Zamandi M. Estimating the Total Cost of Student Education in the Pharmacy School of Iran University of Medical Sciences Using the Activity-Based Costing (ABC) Method in the Academic Year 2022-2023: A Descriptive Study. J Rafsanjan Univ Med Sci 2025; 24 (1): 65-79. [Farsi]
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[1]- PhD in Health Economics, Health Services Management Research Center, Institute for Futures Studies in Health, Kerman, Iran
[2]- PhD in Health Economics, Vice-Presidency of International Affairs, Iran University of Medical Sciences, Tehran, Iran
ORCID: 0000-0003-1675-3026
(Corresponding Author) Tel: 09196219745, E-mail: mzamandi8@gmail.com
ORCID: 0000-0003-1675-3026
(Corresponding Author) Tel: 09196219745, E-mail: mzamandi8@gmail.com
Type of Study: Research |
Subject:
مديريت و اطلاع رساني پزشكي
Received: 2024/08/2 | Accepted: 2025/03/5 | Published: 2025/04/21
Received: 2024/08/2 | Accepted: 2025/03/5 | Published: 2025/04/21
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