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ERIC Number: ED356731
Record Type: Non-Journal
Publication Date: 1992
Pages: 69
Abstractor: N/A
Reference Count: N/A
ISBN: ISBN-0-915164-76-0
ISSN: N/A
Tuition Discounting: The Impact of Institutionally Funded Financial Aid.
Hubbell, Loren Loomis
This report presents a model and an approach that institutions of higher education can use to analyze and project the impact of endogenous and exogenous factors on both net and gross tuition in the context of the increasing practice of tuition discounting. It is noted that two key questions drive this effort: (1) what influence does gross tuition pricing have on institutionally funded financial aid, and hence, net tuition? and (2) how much does a college or university need to increase its stated tuition rate to realize a desired level of net tuition revenue growth? To answer these questions, this report first examines relationships among tuition, student need, institutionally funded financial aid, and other institutional factors from a broad education industry perspective. The next section depicts the interaction of these elements by applying the discounting model developed to a fictitious, representative college. The detailed derivation of the model, and the formulae used, are presented in the appendix. (GLR)
National Association of College and University Business Officers, One Dupont Circle, Suite 500, Washington, DC 20036-1178 ($30 members, $35 nonmembers).
Publication Type: Reports - Descriptive; Guides - Non-Classroom
Education Level: N/A
Audience: Administrators; Practitioners
Language: English
Sponsor: N/A
Authoring Institution: National Association of College and University Business Officers, Washington, DC.