21. The total of the Purchases Journal is transferred to the:

1. Credit side of the Purchases Book

2. Credit side of the Purchases Account

3. Debit side of the Purchases Account

4. Debit side of the Purchases Day Book

22. Bank overdraft is:

1. A current asset

2. A current liability

3. A non-current asset

4. A non-current liability

23. Net profit is calculated in the:

1. Trial balance

2. Trading account

3. Profit and loss account

4. Statement of financial position

24. Gross profit is:

1. Sales less purchases

b. Net profit less expenses of the period

c. Cost of goods sold + opening inventory

d. Excess of sales over cost of goods sold