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The correct difference between grants and scholarships is:
A. Scholarships are typically based on academic performance, whereas grants are typically awarded based on financial need.
Scholarships are often awarded to students who excel academically, athletically, or in other specific areas, regardless of financial need. On the other hand, grants are usually given to students who demonstrate financial need, regardless of their academic performance. This key difference highlights the criteria used to determine who receives scholarships versus grants.