5 Required Information Part 1 of 3 Problem 6-5A Preparing a bank reconciliation and recording adjustments LO P3 [The following information applies to the questions displayed below.] Chavez Company most recently reconciled its bank statement and book balances of cash on August 31 and it reported two checks outstanding, No. 5888 for $1.064 and No. 5893 for $498. Check No. 5893 was still outstanding as of September 30. The following information is available for its September 30 reconciliation. 1.42 points From the September 30 Bank Statement eBook PREVIOUS BALANCE 18, TOTAL CHECKS AND DEBITS 9,985 TOTAL DEPOSITS AND CREDITS 11,823 CURRENT BALANCE 19,838 Print References CHECKS AND DEBITS Date No. Amount 09/03 5888 1,064 09/04 5902 715 09/07 5901 1,867 09/17 691 NSF 89/20 5985 973 09/22 5983 388 09/22 5984 2,132 09/28 5907 262 09/29 5999 1,893 DEPOSITS AND CREDITS Date Amount 89/es 1,149 09/12 2,229 89/21 4,471 09/25 2,385 09/30 19 IN 09/30 1,650 CM From Chavez Company's Accounting Records Cash Receipts Deposited Cash Date Debit Sept. 5 1,149 12 2,229 21 4,471 25 2,385 30 1,662 11,816 Cash Payments Cash Check No. Credit 5991 1,867 5992 715 5993 388 5984 2,091 5995 973 5996 1,921 5997 262 5998 440 5999 1,893 9,650 PR Debit Credit Cash Date Explanation Aug. 31 Balance Sept. 30 Total receipts 30 Total payments Acct. No. 101 Balance 16,438 28,254 18,684 11,816 R12 D23 9,650 Additional Information Print (a) Check No. 5904 is correctly drawn for $2.132 to pay for computer equipment; however, the recordkeeper misread the amount and entered it in the accounting records with a debit to Computer Equipment and a credit to Cash of $2,091. (b) The NSF check shown in the statement was originally received from a customer. S. Nilson, in payment of her account. Its return has not yet been recorded by the company. (c) The credit memorandum (CM) is from the collection of a $1,650 note for Chavez Company by the bank. The collection is not yet recorded References Problem 6-5A Part 1 Required: 1. Prepare the September 30 bank reconciliation for this company CHAVEZ COMPANY Bank Reconciliation September 30 Book balance Add: Bank statement balance Add: Deduct: Deduct: Adjusted bank balance Adjusted book balance