Ball attended Seattle High School and received top grades in the sciences. She graduated from Seattle High School in 1910 and entered the University of Washington to study chemistry. During her four years there, she earned bachelor degrees in both pharmaceutical chemistry and pharmacy. She also, with her pharmacy instructor, published a 10-page article in the prestigious Journal of the American Chemical Society titled "Benzoylations in Ether Solution." Following her graduation, Ball was offered scholarships to attend the University of California Berkeley and the University of Hawaii. Ball decided to move back to Hawaii to pursue a master's degree in chemistry. In 1915, she became the first woman and first African American to graduate with a master's degree from the University of Hawaii.
In her postgraduate research career at the University of Hawaii, Ball investigated the chemical makeup and active principle of Piper methysticum (kava) for her master's thesis. While working on her thesis, Ball was asked by Dr. Harry T. Hollmann, an assistant surgeon at Kalihi Hospital in Hawaii, to help him develop a method to isolate the active chemical compounds in chaulmoogra oil. Chaulmoogra oil had previously been used in the treatment of Hansen's disease (leprosy) with mixed results. Most patients with Hansen's disease were hesitant to take the oil over the long term because it tasted bitter and tended to cause an upset stomach. Ball developed a process to isolate the ethyl esters of the fatty acids in the chaulmoogra oil so that they could be injected, but died before she could publish her results. Another chemist at the University of Hawaii, Arthur L. Dean, continued her work and began producing large quantities of the injectable chaulmoogra extract. In 1918, a Hawaii physician reported in the Journal of the American Medical Association that a total of 78 patients were released from Kalihi Hospital by the board of health examiners after treatment with injections. The isolated ethyl ester remained the preferred treatment for Hansen's disease until sulfone drugs were developed in the 1940s.
Alice Augusta Ball died on December 31, 1916, at the age of 24. She had become ill during her research and returned to Seattle for treatment a few months before her death. A 1917 newspaper article from the Pacific Commercial Advertiser suggested that the cause may have been chlorine poisoning that occurred while teaching. However, the cause of her death is unknown as her original death certificate was altered, giving the cause of death as tuberculosis.
Although her research career was short, Ball introduced a new treatment of Hansen's disease which continued to be used until the 1940s. The University of Hawaii did not recognize her work for nearly ninety years. In 2000, the university finally honored Ball by dedicating a plaque to her on the school's lone chaulmoogra tree behind Bachman Hall. On the same day, the former Lieutenant Governor of Hawaii, Mazie Hirono, declared February 29 "Alice Ball Day" which is now celebrated every four years. More recently, Ball was honored by the University of Hawaii Board of Regents with a Medal of Distinction in 2007.