By 1993, the University enters into a period of relative fiscal stability. This is threatened when the state’s Board of Higher Education votes for two consecutive years to cut tuition rates at public institutions by 5%, resulting in lost revenue. The University must make up part of the shortfall by raising fees. Are such tuition cuts the best strategy?
Subjects: Financial Management, Financial Planning, Tuition
Setting: Small Private
Also available: Tuition Pricing at the University of Massachusetts (A)
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