Required information Problem 8 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 $1,057 and No 5893 for $512 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 TOTAL CHECKS AND DEBITS TOTAL DEPOSITS AND CREDITS CURRENT BALANCE 20,000 9,886 11,537 21,651 CHECKS AND DEBITS DEPOSITS AND CREDITS Date No Amount Date Amount 09 03 5888 1,057 09 05 1,164 09 04 5902 755 09 12 2,277 09 07 5901 1,809 09 21 4,150 09 17 698 NSF 09 25 2,321 09 20 5905 952 09 30 15 IN 09 22 5903 417 09 30 1,610 CM 09 22 5904 2,060 09 28 5907 268 09 29 5909 1,870 From Chavez Companys Accounting Records Cash Receipts Deposited Date Cash Debit Sept 5 1,164 12 2,277 21 4,150 25 2,321 30 1,669 11,581 Cash Payments Check No Cash Credit 5901 1,809 5902 755 5903 417 5904 2,023 5905 952 5906 1,019 5907 268 5908 426 5909 1,870 9,539 Cash Acct No 101 Date Explanation PR Debit Credit Balance Aug 31 Balance 18,431 Sept 30 Total receipts R12 11,581 30,012 30 Total payments D23 9,539 20,473 Additional Information (a) Check No 5904 is correctly drawn for $2,060 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 $2,023 (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 $1,610 note for Chavez Company by the bank The collection is not yet recorded Problem 8 5A Part 2 2 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 )

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Required information Problem 8-5A Preparing a bank reconciliation and recording adjustments LO P3 [The following information applies to the questions displayed below.] Chavez Company most

Required information

Problem 8-5A 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 $1,057 and No. 5893 for $512. 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	TOTAL CHECKS AND DEBITS	TOTAL DEPOSITS AND CREDITS	CURRENT BALANCE
20,000	9,886	11,537	21,651

CHECKS AND DEBITS				DEPOSITS AND CREDITS
Date	No.	Amount		Date	Amount
09/03	5888	1,057		09/05	1,164
09/04	5902	755		09/12	2,277
09/07	5901	1,809		09/21	4,150
09/17		698	NSF	09/25	2,321
09/20	5905	952		09/30	15	IN
09/22	5903	417		09/30	1,610	CM
09/22	5904	2,060
09/28	5907	268
09/29	5909	1,870

From Chavez Companys Accounting Records

Cash Receipts Deposited
Date		Cash Debit
Sept.	5		1,164
	12		2,277
	21		4,150
	25		2,321
	30		1,669
			11,581

Cash Payments
Check No.	Cash Credit
5901		1,809
5902		755
5903		417
5904		2,023
5905		952
5906		1,019
5907		268
5908		426
5909		1,870
		9,539

Cash			Acct. No. 101
Date	Explanation	PR	Debit	Credit	Balance
Aug. 31	Balance				18,431
Sept. 30	Total receipts	R12	11,581		30,012
30	Total payments	D23		9,539	20,473

Additional Information

(a) Check No. 5904 is correctly drawn for $2,060 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 $2,023.
(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 $1,610 note for Chavez Company by the bank. The collection is not yet recorded.

Problem 8-5A Part 2

2. 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.)