This report is one of eight volumes in the National Institute of Education's Compensatory Education Study which describe the findings and procedures of the Instructional Dimensions Study, an indepth assessment of the relationships between selected instructional constructs and students' achievement. Program cost analysis was included in the study in order to allow the examination of the cost effectiveness of the program. Program cost analysis results relate to the educational effectiveness analysis results in at least two ways: the cost analysis results can be directly contrasted with reading and math program achievement, attitude, and/or attendance outcomes in order to explore possible relationships between total program cost; and the educational effectiveness analysis which examines the relationship of specific program characteristics to outcomes can be used as a guide for examination of specific program configurations which show greater or lesser educational promise. The cost analysis technique used in the study focuses upon the determination of the cost of all resources devoted to a specific academic program for each of the classroom or sub-classroom analysis units included in the study. (Author/AM)