Required information [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 $1.003 and No. 5893 for $514. 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 19,000 9,865 11,857 20,992 CHECKS AND DEBITS Date No. Amount 09/03 5888 1,003 09/04 5902 730 09/07 5901 1,877 09/17 689 NSF 09/20 5905 993 09/22 5903 419 09/22 5904 2,065 09/28 5907 228 89/29 5909 1,861 DEPOSITS AND CREDITS Date Amount 09/05 1,108 09/12 2,245 09/21 4,470 09/25 2,343 09/30 21 IN 09/30 1,670 CM From Chavez Company's Accounting Records Cash Receipts Deposited Cash Date Debit Sept. 5 1, 108 12 2,245 21 4.470 25 2,343 30 1,661 11,827 Cash Payments Cash Check No. Credit 5901 1,877 5902 730 5903 419 5904 2,021 5905 993 5906 989 5987 228 5908 354 5989 1,861 9,472 PR Debit Cash Date Explanation Aug. 31 Balance Sept. 30 Total receipts 30 Total payments Acct. No. 101 Credit Balance 17,483 29,310 9,472 19,838 R12 D23 11,827 Additional Information (a) Check No. 5904 is correctly drawn for $2,065 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 $2,021. (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 Required: 1. Prepare the September 30 bank reconciliation for this company CHAVEZ COMPANY Bank Reconciliation September 30 Book balance Add: Bank statement balance Add: Doduct: Deduct: Adjustod bank balance Adjustod book balance 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.) View transaction list Journal entry worksheet 2 3 4 5 6 Record the entry related to the September 30 deposit, if required. Note: Enter debits before credits Dato General Journal Debit Credit Sept 30 Record entry Clear entry View general Journal Journal entry worksheet Record the entry related to interest earned, if required. Note: Enter debits before credits. Date General Journal Debit Credit Sept 30 1 2. 2 4 5 6 Record the entry related to the note receivable and the collection, if required. Note: Enter debits before credits Date General Journal Debit Credit Sept 30
