Problem 6-5A Prepare a bank reconciliation and record 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 $1,087 and No. 5893 for $493. The following information is available for its September 30, 2015, reconciliation. From the September 30 Bank Statement PREVIOUS BALANCE 20,500 TOTAL CHECKS AND DEBITS 9,791 TOTAL DEPOSITS AND CREDITS 11,377 CURRENT BALANCE 22,086 Date 09/03 09/04 09/07 09/17 09/20 09/22 09/22 09/28 09/29 CHECKS AND DEBITS No. Amount 5888 1,087 5902 749 5901 1,823 606 NSF 5905 989 5903 402 5904 2,053 5907 219 5909 1,863 DEPOSITS AND CREDITS Date Amount 09/05 1,143 09/12 2,230 09/21 4,117 09/25 2,315 09/30 20 IN 09/30 1,552 CM DAILY BALANCE Date Amount 08/31 20,500 09/03 19,413 09/04 18,664 09/05 19,807 09/07 17,984 09/12 20,214 09/17 19,608 09/20 18,619 09/21 22,736 09/22 20,281 09/25 22,596 09/28 22,377 09/29 20,514 09/30 22,086 From Chavez Company's Accounting Records Cash Receipts Deposited Cash Date Debit Sept. 5 1,143 2,230 4,117 2,315 1,667 11,472 Cash Disbursements Check Cash No. Credit 5901 1,823 5902 749 5903 402 5904 2,010 5905 989 5906 950 5907 219 5908 443 5909 1,863 9,448 PR Debit Credit Cash Date Explanation Aug. 31 Balance Sept. 30 Total receipts 30 Total disbursements Acct. No. 101 Balance 18,920 30,392 20,944 R12 11,472 e me 9,448 20.9 D23 Additional Information Check No. 5904 is correctly drawn for $2,053 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 $2,010. 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. The credit memorandum is from the collection of a $1,570 note for Chavez Company by the bank. The bank deducted a $18 collection fee. The collection and fee are not yet recorded. Problem 6-5A Part 1 Required: 1. Prepare the September 30, 2015, bank reconciliation for this company. CHAVEZ COMPANY Bank Reconciliation September 30, 2015 Book balance Add: Bank statement balance Add: Deduct: Deduct: Adjusted bank balance 0 Adjusted book balance Problem 6-5A Part 2 2. Prepare the 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 1 2 3 4 5 6 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 1 Record the entry related to the September 30 deposit, if required. 2 Record the entry related to interest earned, if required. 3 Record the entry related to the note receivable and the collection fee, if required. 4. Record the entry related to the outstanding checks, if required. 5 Record the entry related to the NSF check, if required. 6 Record the entry related to the error on check 5904, if required
