Sarah Receives a $15,000 Scholarship from City University

Sarah receives a $15,000 scholarship from City University. The university specifies that $8,000 is for tuition, books, supplies, and equipment for classes. The other $7,000 is for room and board. Sarah works ten hours per week as a grader, for which she is paid $7,500 for the year. Of the total amount received, Sarah must include the following amount in gross income

A) $7,500.
B) $22,500.
C) $14,500.
D) $7,000.