Application of the Activity Based Costing Model to Calculate Unit Costs of Education at Kindergarten Schools in Malang : Case Study at Al-Madani Kindergarten School, Pakis, Malang

Abstract

This research discusses the comparison between traditional methods and the Activity Based Costing (ABC) model in determining Tuition and DPP rates for KB, TK-A and TK-B units at Al-Madani Kindergarten. This research was conducted to provide an alternative for determining Tuition rates , DPP is based on the Activity Based Costing model to be more accurate. This research uses quantitative methods of descriptive analysis. The results of the research show that Tuition rates using the traditional method experience undercosts, that is, the actual costs are lower than those calculated using the ABC model. This difference is not too big, so family planning costs, both fixed and variable, for TK-A and TK-B units are the same, but the provision of education remains the same. This research shows that Al-Madani Kindergarten is considered appropriate in setting Tuition rates for teaching and learning activities, needs can still be controlled and met even though using traditional methods. This is due to the number of students in the KB unit being fewer than in the TK-A and TK-B units, but the activities and costs incurred remain the same as in the TK-A and TK-B units. This research also concludes that calculating Tuition and DPP rates using the ABC model can provide more accurate and detailed information about each fixed and variable cost, and can help management in decision making and educational development.