OBJECTIVES: The purpose of this study was to determine the unit cost of the main production centers of Ankara University Faculty of Medicine Hospitals in 2008. METHODS: Expenses and costs of the two hospitals of Ankara University (Ibni Sina and Cebeci Hospitals) were obtained from the Hospital Information System and Revolving Fund distributed to the main production centers by using a step-down allocation method with five allocation steps. Unit costs were calculated in the last step. To determine the cost for outpatient and inpatient units, the data from the fifth allocation including the number of outpatients and inpatients as well as the number of inpatient days was used. RESULTS: The total cost of Ibni Sina Hospital (a 931-bed facility) and Cebeci Hospital (a 1153-bed facility) were calculated as €55,137,708.41 and €49,709,800.84 respectively. In Ibni Sina Hospital, among outpatient units, Dept. of Hematology had the highest, while the Aphaeresis Unit had the lowest cost. As to the inpatient unit costs, Dept. of Internal Diseases had the highest, and Dept. of Ear, Nose and Throat had the lowest cost. In Cebeci Hospital, Dept. of Algology had the highest outpatient unit cost, and Consultation-Liaison Psychiatry had the lowest outpatient unit cost. In terms of number of inpatients,  Dept. of Pediatrics had the highest, while the Aphaeresis Unit had the lowest unit cost. Nuclear Medicine Department had the highest cost, while the Aphaeresis Unit had the lowest clinic unit cost with respect to inpatient hospital days. CONCLUSIONS: The results of this study show that the unit costs of outpatient clinics are higher in the departments of internal medicine compared to the departments of surgery whereas the reverse is true for inpatient clinics. Being aware of unit costs in a large-size hospital would improve strategic decision-making process including effective financial management, health care service planning and human resources management.