Question

Consider the following account balances of Smiths Corp. at the end of the year:

Answer 1

Answer:

Interest revenue, rent expense and salaries expense

Explanation:

In the income statement, the total revenues and the total expenses are recorded.  

If the total revenues are more than the total expenditure then the company earns net income

And, If the total revenues are less than the total expenditure then the company have a net loss

This net income or net loss would reflect in the statement of the retained earning account.  

So, the categorization is shown below:

Interest revenue, rent expense and salaries expense