Question: The $ 8 , 0 0 0 scholarship is additional compensation to Willy's father and is included in his gross income. The scholarship is simply

The $8,000 scholarship is additional compensation to Willy's father and is included in his gross income.
The scholarship is simply a payment to assist children of employees seeking an education and so is excluded from Willy's father's gross income.
The $6,000 scholarship is taxable to Willy since he received it as a result of a contest.

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