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.).

• Record the entry related to the September 30 deposit, if required.
• Record the entry related to interest earned, if required.
• Record the entry related to the note receivable and the collection, if required.
• Record the entry related to the outstanding checks, if required.
• Record the entry related to the NSF check, if required.
• Record the entry related to the error on check 5904, if required.

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 $1,016 and No. 5893 for $515. 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 19,500 TOTAL CHECKS AND DEBITS 9,900 TOTAL DEPOSITS AND CREDITS 11,704 CURRENT BALANCE 21,304 CHECKS AND DEBITS Date No. Amount 09/03 5888 1,016 09/04 5902 774 09/07 5901 1,828 09/17 670 NSF 09/20 5905 924 09/22 5903 421 09/22 5904 2,138 09/28 5907 267 09/29 5909 1,862 DEPOSITS AND CREDITS Date Amount 09/05 1,114 09/12 2,264 09/21 4,272 09/25 2,363 09/30 21 IN 09/30 1,670 CM From Chavez Company's Accounting Records Date Cash Receipts Deposited Cash Debit Sept. 5 1,114 12 2,264 21 4,272 25 2,363 30 1,733 11,746 Cash Payments Cash Check No. Credit 5901 1,828 5902 774 5903 421 5904 2,094 5905 924 5906 1,010 5907 267 5908 375 5909 1,862 9,555 PR Debit Cash Date Explanation Aug. 31 Balance Sept. 30 Total receipts 30 Total payments Acct. No. 101 Credit Balance 17,969 29,715 9,555 20,160 R12 D23 11,746 Additional Information (a) Check No. 5904 is correctly drawn for $2,138 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 $2,094. (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 $1,670 note for Chavez Company by the bank. The collection is not yet recorded