Question: Problem 6-5A Preparing a bank reconciliation and recording adjustments LO P3
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 $1,040 and No. 5893 for $515. The following information is available for its September 30, 2017, reconciliation. From the September 30 Bank Statement PREVIOUS BALANCE TOTAL CHECKS AND DEBITS TOTAL DEPOSITS AND CREDITS CURRENT BALANCE 19,500 11,462 21,072 9,890 CHECKS AND DEBITS DEPOSITS AND CREDITS Amount Amount Date No. Date 09/03 09/05 09/12 5888 1,040 1,147 2,266 4,044 09/04 5902 768 09/07 09/21 5901 1,885 09/17 09/20 642NSF 09/25 2,310 5905 951 09/30 09/30 23IN 09/22 5903 379 1,672CM 09/22 5904 2,113 09/28 5907 236 09/29 5909 1,876 From Chavez Company's Accounting Records From Chavez Company's Accounting Records Cash Receipts Deposited Cash Debit Date Sept. 5 1,147 2,266 4,044 2,310 1,777 12 21 25 30 11,544 Cash Disbursements Cash Check No. Credit 5901 1,885 5902 768 5903 379 5904 2,075 5905 951 5906 1,049 5907 236 5908 372 5909 1,876 9,591 Acct. No, 101 Cash Debit Explanation Credit Balance Date PR Aug. 31 Balance 17,945 11,544 Sept. 30 Total receipts R12 29,489 19,898 30 Total disbursements D23 9,591 Acct. No. 101 Cash Explanation Aug. 31 Balance Sept. 30 Total receipts Debit Credit PR Balance Date 17,945 R12 11,544 29,489 30 Total disbursements D23 9,591 19,898 Additional Information Check No. 5904 is correctly drawn for $2,113 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 $2,075. 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 $1,690 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 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.) Journal entry worksheet 2 3 5 Record the entry related to the September 30 deposit, if required. Note: Enter debits before credits. Date General Journal Debit Credit No journal entry required Sept 30 View general journal Record entry Clear entry Journal entry worksheet 1 2 4 5 6 Record the entry related to interest earned, if required. Note: Enter debits before credits. Date General Journal Debit Credit Sept 30 Record entry View general journal Clear entry Journal entry worksheet 6 1 2 3 4 5 Record the entry related to the note receivable and the collection fee, if required Note: Enter debits before credits. Debit Date General Journal Credit Sept 30 Record entry Clear entry View general journal LC Journal entry worksheet 3 4 1 2 5 Record the entry related to the outstanding checks, if required. Note: Enter debits before credits. Date General Journal Debit Credit Sept 30 Record entry Clear entry View general journal CC LO Journal entry worksheet 2 3 6 1 4 5 Record the entry related to the NSF check, if required. Note: Enter debits before credits Date General Journal Debit Credit Sept 30 Record entry Clear entry View general journal Journal entry worksheet 2 3 4 6 Record the entry related to the error on check 5904, if required. Note: Enter debits before credits. Date General Journal Credit Debit Sept 30 Record entry Clear entry View general journal
