Jena is a full-time undergraduate student at State University and qualifies as a dependent of her parents.Her only source of income is a $10,000 athletic scholarship ($1,000, books; $5,500, tuition; $500, student activity fee; and $3,000, room and board).Jena's gross income for the year is:

Question

Quizplus · Accepted Answer

Jena's gross income for the year is $3,000, which represents the portion of her athletic scholarship allocated for room and board. Scholarships used for tuition, books, and fees related to enrollment or attendance are not taxable, but amounts used for room and board are considered taxable income.

Jena Is a Full-Time Undergraduate Student at State University and Qualifies