In February 1974, Parts I and II of a study of the Costs of Education in the Health Professions were submitted to the Congress and the Department of Health, Education and Welfare. The report was in response to a request contained in the Comprehensive Health Manpower and Training Act (Public Law 92-157). This volume, part III of the report, contains a detailed description of the methodology used in developing and analyzing the data contained in the study. Part III includes a description of the methodology used in the field study of 82 sampled schools and the process and results of the constructed costs modeling seminars held for the professions of medicine, dentistry, and veterinary medicine. Discussed in the two sections of the report are: (1) Education Costs and New Education Expenditures: The Program Cost Approach; and (2) The Constructed Cost Process. Attachments include statistical tables, sample questionnaires, seminar proceedings, and seminar participants. (Author/PG)