Charges for tuition for the current semester of a local college totaled $300,000. Academic scholarships were awarded to students in the amount of $25,000 and tuition waivers were given to children of employees in the amount of $10,000. The college should report

Question

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The college should report revenues of $275,000, which is the total tuition charged ($300,000) minus the tuition waivers ($10,000) since waivers are not considered revenue. The $25,000 in academic scholarships does not reduce revenue but is considered an expense, leading to $275,000 in revenues and $10,000 in expenses.

Charges for Tuition for the Current Semester of a Local