Question

Jarrod receives a scholarship of $35,200 from East State University to be used to pursue a bachelor's degree. He spends $21,120 on tuition, $1,760 on books and supplies, $7,040 for room and board, and $5,280 for personal expenses. How much may Jarrod exclude from his gross income?

Answer 1

Question: How much may Jarrod exclude from his gross income?

Answer:

Given that,

• Jarrod receives a scholarship of $35,200 from the University.
• Jarrod spends $21,120 on tuition and $1,760 on books and supplies.
• For room and board, Jarrod spends $7,040 and $5,280 for personal expenses.

Scholarship is the benefit or award or payments made by the university yearly or semester wise to the student based on his or her academic performances.

So basically,the amount $ 22,880 i.e, the tuition fee of $21,120 and books and supplies cost of $1,760 are excluded from the gross income as it is related to academics.

And the amount spent on the room and board $7,040 and personal expenses i.e, $5,280 are included in the gross income as it is a personal expenditure.

• Jarrod may exclude $ 22,880 from his gross income.