This document discusses key concepts and determinants of education costs. It identifies the main components of education costs as direct and indirect, private and social, current and capital, and fixed and variable. Each cost component is defined. For example, direct costs are those solely for education production like teacher salaries while indirect costs are shared across multiple activities. The document also discusses mechanisms to monitor and reduce deficits, such as departmental accounting and sharing losses. It introduces the concept of the break-even point, where costs and revenues are equal, and how this can be computed using a boardwork formula.