Explanation:

- Subsidies:

- These are payments made by the government to individuals or businesses to support or promote economic activities.

- They are part of the revenue expenditure because they do not create any asset or reduce liabilities.

- Interest Payments:

- These are payments on the government's debt.

- They are considered revenue expenditure as they are recurring expenses that do not result in asset creation.

- Loan to State Government:

- This is not a revenue expenditure.

- Loans create an asset (a financial claim on states) and are classified under capital expenditure.

Correct Answer: Option 4, Only I and II