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 $1,037 and No. 5893 for $502. 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 PREVIOUS BALANCE 18,000 TOTAL CHECKS AND DEBITS 9,915 TOTAL DEPOSITS AND CREDITS 11,479 CURRENT BALANCE 19,564 CHECKS AND DEBITS Date No. Amount 09/03 5888 1,037 09/04 5902 781 09/07 5901 1,900 09/17 670 NSF 09/20 5905 936 09/22 5903 378 09/22 5904 2,097 09/28 5907 264 09/29 5909 1,852 DEPOSITS AND CREDITS Date Amount 09/05 1,163 09/12 2,228 09/21 4,012 09/25 2,368 09/30 18 IN 09/30 1,690 CM From Chavez Company's Accounting Records Cash Receipts Deposited Cash Date Debit Sept. 5 1,163 12 2,228 21 4,012 25 2,368 30 1,660 11,431 Cash Payments Cash Check No. Credit 5901 1,900 5902 781 5903 378 5904 2,054 5905 936 5906 1,034 5907 264 5908 391 5909 1,852 9,590 PR Debit Date Explanation Aug. 31 Balance Sept. 30 Total receipts 30 Total payments HLLL. NU AUA Credit Balans 16,461 27,892 9,590 18, 302 11,431 R12 D23 Additional Information (a) Check No. 5904 is correctly drawn for $2,097 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 $2,054. (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 $1,690 note for Chavez Company by the bank. The collection is not yet recorded. Problem 8-5A 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: 0 ol 0 0 Deduct: Deduct: 0 0 Adiusted hank halance Adilsted hank halance S S