Monodispersed alumina-zirconia fine powders were prepared by controlled hydrolysis of alkoxides. These powders and the sintered bodies were characterized. Aluminium alkoxide and zirconium alkoxide were dissolved into complex solvent with butanol and n-propanol, and by acetonitrile added hydrolytic solution, hydrolysis rate was controlled. The oil, as a dispersant, was added in hydrolytic solution, and then prepared powders were nano-sized and well-monodispersed. In the case of hydroxypropyl celluose (HPC) as a dispersant, it was added in complex solution with butanol and iso-propanol, sub-micrometer sized and well-monodispersed powders could be prepared. The value of relative density (R.D.) and tetragonal phase fraction of zirconia in the sintered body made by nano-meter sized powders were respectively higher than those in the case of sub-micrometer sized one.