A public college had tuition and fees for the year ended June 30,2012 in the amount of $45,000,000.Scholarships,for which no services were required,amounted to $2,300,000.Graduate assistantships,for which services were required,amounted to $2,500,000.The amount to be reported by the college for net tuition and fee revenue would be:
A) $40,200,000.
B) $42,700,000.
C) $42,500,000.
D) $45,000,000.

Question

Quizplus · Accepted Answer

Net tuition and fee revenue is calculated by subtracting scholarships for which no services are required from the total tuition and fees. Therefore, $45,000,000 - $2,300,000 = $42,700,000. Graduate assistantships are not subtracted because they require services.

A Public College Had Tuition and Fees for the Year