IS OPERATING EXPENSE IS IT OPERATING LOSS OR OPERATING INCOME. LOOK - Income Statement For the Year Ended December 31, Year 2 Revenues: Sales Revenue: $340,000 Cost of Goods Sold (COGS): Cost of Goods Sold: $225,000 Gross Profit: Gross Profit = $115,000 Operating Expenses: Salaries Expense: $41,200 Operating Expenses: $45,000 Rent Expense: $7,500 Uncollectible Accounts Expense: $9,600 Total Operating Expenses: Total Operating Expenses = $103,300 Operating Income: Operating Income = $11,700 Non-Operating Items: Interest Revenue: $2,000 Interest Expense: ($1,300) Total Non-Operating Items: Total Non-Operating Items = $700 Net Income: Net Income = $12,400