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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 $1098
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 $1098 and No. 5893 for $510. Check No.5893 was still outstanding as of September 30. The following information is available for its September 30 reconciliation From the September 30 Bank Statement TOTAL CHECKS AND DEBITS PREVIOUS BALANCE 18,500 TOTAL DEPOSITS AND CREDITS 11,854 CURRENT BALANCE 20,474 9,880 CHECKS AND DEBITS Date No. Amount 09/03 5888 1,098 09/04 5902 761 09/07 5901 1,881 09/17 620 NSF 09/2 5905 925 09/22 5903 361 09/22 5904 2,114 09/28 5907 220 09/29 5909 1,500 DEPOSITS AND CREDITS Date Amount 09/05 1,164 09/12 2,269 09/21 4,458 09/25 2,380 09/30 23 IN 09/30 1,640 CM From Chavez Company's Accounting Records Cash Receipts Deposited Cash Date Debit Sept. 5 1,164 12 2,269 21 4,458 25 2,300 30 1,704 11,895 Cash Payments Cash Check No. Credit 5901 1,881 5902 761 5903 361 5904 2,076 5905 925 5906 1,000 5907 220 5908 386 5909 1.900 9,510 PR Dobit Credit Cash Date Explanation Aug. 31 Balance Sept. 30 Total receipts 30 Total payments Acet. No101 Balance 16,892 28,787 19,277 R12 023 11,895 9,510 Additional Information ta) Check No. 5904 is correctly drawn for $2.114 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 $2.076. (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 $1,640 note for Chavez Company by the bank. The collection is not yet recorded 2. Prepare journal entries to adjust the book balance of cash to the reconciled balance. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet Record the entry related to the September 30 deposit, if required. Note: Enter debits before credits Date General Journal Debit Credit Sept 30 Record entry Clear entry View general Journal 2. Prepare journal entries to adjust the book balance of cash to the reconciled balance. (If no entry is required transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet 1 2 3 4 5 Record the entry related to interest earned, if required. Note: Enter debits before credits Date General Journal Debit Credit Sept 30 Record entry Clear entry View general Journal Journal entry worksheet Record the entry related to the note receivable and the collection, if required. Note: Enter debits before credits. Date General Journal Debit Credit Sept 30 Record entry Clear entry View general Journal Prepare journal entries to adjust the book balance of cash to the reconciled balance. (If no ent ansaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet Record the entry related to the outstanding checks, if required. Note: Enter debits before credits. Date General Journal Debit Credit Sept 30 Record entry Clear entry View general journal Journal entry worksheet Record the entry related to the NSF check, if required. Note: Enter debits before credits. Date General Journal Debit Credit Sept 30 Record entry Clear entry View general journal Journal entry worksheet
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