How does Art Center allocate funds for scholarships? Is tuition money used to fund scholarships?
It is a common practice for nonprofit, American colleges and universities to dedicate a portion of their total budget for scholarships to students. Colleges and universities differ in how they use these funds; some set aside a significant portion of these scholarship funds for students with financial need, while some may set aside a portion of the scholarships based on quality and merit. These types of scholarship typically help defray the cost of a private college education for students and families; without any scholarship, this kind of education would be unattainable for all but a very few. It is not uncommon for colleges and universities to devote 20 to 36 percent of their total budgets for scholarship. Please bear in mind that most private colleges and universities derive their total budgets from a variety of sources, including tuition, income from the endowment, annual gifts, governmental and private grants, etc.
