Choosing A University: Applying Student Experiences To Managerial Accounting Concepts

Abstract

This case allows students to apply their recent university-selection experience to managerial accounting concepts. For some students, the decision to attend a particular university is easy; for others, the number of factors to consider may appear overwhelming. We provide a realistic scenario for making this decision that focuses on both financial considerations and important qualitative aspects of college. Our goal is to provide students a concrete example that allows them to utilize their experience in making this decision with the cost concepts necessary in understanding managerial accounting. Our fictional character, Amy, is choosing between an in-state public university, an out-of-state public university, and a private college in the Pacific Northwest. Instructors can use this case to reinforce cost concepts, cost behavior, and relevant costs.