Ron, Age 19, Is a Full-Time Graduate Student at City

Ron, age 19, is a full-time graduate student at City University.During 2012, he received the following payments: Ron served as a resident advisor in a dormitory and, therefore, the university waived the $2,500 charge for the room he occupied. What is Ron's adjusted gross income for 2012?

A) $1,500.
B) $4,000.
C) $7,500.
D) $15,500.
E) None of the above.