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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, Number 5888 for

Chavez Company most recently reconciled its bank statement and book balances of cash on August 31 and it reported two checks outstanding, Number 5888 for $1,011 and Number 5893 for $505. Check Number 5893 was still outstanding as of September 30. The following information is available for its September 30 reconciliation.

Date Description Withdrawals Deposits Balance
September 1 $ 19,500
September 3 Check #5888 $ 1,011 $ 18,489
September 4 Check #5902 $ 720 $ 17,769
September 5 Cash deposit $ 1,109 $ 18,878
September 7 Check #5901 $ 1,810 $ 17,068
September 12 Cash deposit $ 2,260 $ 19,328
September 17 NSF check $ 684 $ 18,644
September 20 Check #5905 $ 945 $ 17,699
September 21 Cash deposit $ 4,183 $ 21,882
September 22 Check #5903 $ 370 $ 21,512
September 22 Check #5904 $ 2,129 $ 19,383
September 25 Cash deposit $ 2,378 $ 21,761
September 28 Check #5907 $ 210 $ 21,551
September 29 Check #5909 $ 1,884 $ 19,667
September 30 Collected note $ 1,510 $ 21,177
September 30 Interest earned $ 14 $ 21,191

From Chavez Companys Accounting Records

Cash Receipts Deposited
Date Cash Debit
September 5 1,109
September 12 2,260
September 21 4,183
September 25 2,378
September 30 1,785
11,715

Cash Payments
Check Number Cash Credit
5901 1,810
5902 720
5903 370
5904 2,088
5905 945
5906 1,039
5907 210
5908 425
5909 1,884
9,491

Cash Account Number 101
Date Explanation PR Debit Credit Balance
August 31 Balance 17,984
September 30 Total receipts R12 11,715 29,699
September 30 Total payments D23 9,491 20,208

Additional Information

  1. (a) Check Number 5904 is correctly drawn for $2,129 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 $2,088.
  2. (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.
  3. (c) The collection of the note on September 30 is not yet recorded by the company.

Required: 1. Prepare the September 30 bank reconciliation for this company.

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