Other income

Other income is income derived from activities unrelated to the main focus of a business. For example, a manufacturer of washing machines earns rental income from sub-leasing unused office space to a third party; this rental income would be classified as other income on the company’s income statement. Other types of income that are commonly classified as other income are interest income, gains on the sale of assets, and gains from foreign exchange transactions. The exact type of transaction characterized as other income will vary by business.

Related Courses

Revenue Recognition
The Income Statement