Problem $6-5$A $($Algo$)$ Preparing a bank reconciliation and recording entries LO P$3$

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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 $$1,083$ and Number $5893$ for $$519.$ 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 $1$ $ $20,500$

September $3$ Check #$5888$ $ $1,083$ $ $19,417$

September $4$ Check #$5902$ $ $727$ $ $18,690$

September $5$ Cash deposit $ $1,104$ $ $19,794$

September $7$ Check #$5901$ $ $1,878$ $ $17,916$

September $12$ Cash deposit $ $2,296$ $ $20,212$

September $17$ NSF check $ $636$ $ $19,576$

September $20$ Check #$5905$ $ $998$ $ $18,578$

September $21$ Cash deposit $ $4,337$ $ $22,915$

September $22$ Check #$5903$ $ $439$ $ $22,476$

September $22$ Check #$5904$ $ $2,094$ $ $20,382$

September $25$ Cash deposit $ $2,386$ $ $22,768$

September $28$ Check #$5907$ $ $227$ $ $22,541$

September $29$ Check #$5909$ $ $1,898$ $ $20,643$

September $30$ Collected note $ $1,550$ $ $22,193$

September $30$ Interest earned $ $17$ $ $22,210$

From Chavez Company$$s Accounting Records

Cash Receipts Deposited

Date Cash Debit

September $51,104$

September $122,296$

September $214,337$

September $252,386$

September $301,706$

$11,829$

Cash Payments

Check Number Cash Credit

$59011,878$

$5902727$

$5903439$

$59042,052$

$5905998$

$59061,029$

$5907227$

$5908428$

$59091,898$

$9,676$

Cash Account Number $101$

Date Explanation PR Debit Credit Balance

August $31$ Balance $18,898$

September $30$ Total receipts R$1211,82930,727$

September $30$ Total payments D$239,67621,051$

Additional Information

$($a$)$ Check Number $5904$ is correctly drawn for $$2,094$ to pay for computer equipment; however, the recordkeeper misread the amount and entered it in the accounting records with a debit to Computer Equipment and a credit to Cash of $$2,052.$

$($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 collection of the note on September $30$ is not yet recorded by the company.

Problem $6-5$A $($Algo$)$ Part $1$

Required:

$1.$ Prepare the September $30$ bank reconciliation for this company.