A private not-for-profit university charges student tuition of $1 million for the current year. Financial aid grants total $220,000. The school also receives a $100,000 grant restricted for faculty salaries. Of that amount, $30,000 is spent appropriately this year. In preparing a statement of activities, which of the following is not true?

a. Net assets without donor restrictions should show an increase of $30,000 for net assets reclassified.

b. Net assets without donor restrictions should report revenue of $1 million.

c. Net assets without donor restrictions should report expenses of $30,000.

d. Net assets without donor restrictions should report a direct reduction of $220,000 in reporting the tuition revenue.