The objective of this study is to analyze cost,trends of cost and alternatives for cost-reduction forundergraduate programs of the Faculty of Educationunder the jurisdiction of the Ministry of UniversityAffairs. Samples of this study are ChulalongkornUniversity, Kasetsart University, Khon Khaen Universityand Chieng Mai University. They were selected by themethod of stratified random sampling, based on evenproportion of central and regional universities whichhave produced graduates for at least 5 consecutiveyears. Data were obtained from surveying i.e. number ofstudents, teaching loads, student credit hours,including budget from the Budget Bureau anduniversities i.e. government and non-government budget,total expense of universities and total expenses of theFaculty of Education. Data were analyzed by percentage,average, and regression analysis, using SPSS programfor Microsoft Window release 6.0 and Data Muncher. The study shows that the Faculty of Education,Chulalongkorn University has the highest total cost andthe highest average cost on every aspect forundergraduate programs, whereas the Faculty ofEducation, Chieng Mai University has the lowest. Otherimportant findings can be summarized as follows: Theaverage total cost per student per year ofChulalongkorn University, Kasetsart University, KhonKhaen University and Chieng Mai University, are 485,272301,220 229,553 and 153,923 Baht respectively. Theaverage cost per student per year, excluding salary,wages, and non-official employees'wages, ofChulalongkorn University, Kasetsart University, KhonKhaen University and Chieng Mai University, are 440,925256,720 182,232 and 123,260 Baht respectively. Theaverage cost per student per year, excluding land ofChulalongkorn University, Kasetsart University, KhonKhaen University and Chieng Mai University, are 183,359147,976 146,917 and 83,865 Baht respectively. Theaverage cost per student per year, excluding land,salary, wages and non - official employees' wages ofChulalongkorn University, Kasetsart University, KhonKhaen University and Chieng Mai University, are 139,012103,477 99,596 and 53,202 Baht respectively. The forecast of cost per student per year up toyear 2001 tends to increase for every university andthe growth rate of operating cost is higher than thegrowth rate of capital cost. Suggestions forcost-reduction are: (1) Increase the number offull-time equivalent students (2) Improve efficiency ineducational administration in order to reduce theoperating cost (3) Increase the utilization of buildingand equipment.