Victor receives a $4,000 per year scholarship from Southern College. The college specifies that $2,500 is for tuition, books, supplies, and equipment for classes. The other $1,500 is for room and board. As part of the conditions of the scholarship, Victor must also work ten hours per week as a grader, for which he is paid $1,700 for the year. Of the total amount received, Victor will include in income:

Question

Quizplus · Accepted Answer

Victor must include in income the amount of the scholarship that exceeds the cost of tuition, books, supplies, and equipment for classes. That amount is $4,000 - $2,500 = $1,500. He also must include in income the amount he earned as a grader, which is $1,700. Therefore, the total amount he must include in income is $1,500 + $1,700 = $3,200.

Victor Receives a $4,000 Per Year Scholarship from Southern College