Required information [The following information applies to the questions displayed below.] Chavez Company most recently reconciled...

Transcribed Image Text:

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, Number 5888 for $1,078 and Number 5893 for $483. Check Number 5893 was still outstanding as of September 30. The following information is available for its September 30 reconciliation. Date September 1 September 3 September 4. September 5 September 7 September 12 Description Withdrawals Deposits Balance $18,500 Check #5888 Check #5902 Cash deposit Check #5901 $ 1,078 $ 17,422 $ 746 $ 16,676 $ 1,146 $ 17,822 $ 1,873 $ 15,949 Cash deposit $ 2,260 $ 18,209 September 17 NSF check $ 645 $ 17,564 September 20 Check #5905 $ 932 $ 16,632 September 21 September 22 September 22 September 25 September 28 September 29 September 30 Cash deposit Check #5903 Check #5904 Cash deposit Check #5907 Check #5909 $ 4,043 $ 20,675 $ 424 $ 20,251 $ 2,057 $ 18,194 $ 2,324 $ 20,518 $ 244 $ 1,873 $ 20,274 $ 18,401 Collected note $ 1,540 September 30 Interest earned $ 20 $ 19,941 $ 19,961 From Chavez Company's Accounting Records Cash Receipts Deposited Date September 5 Cash Debit 1.146 From Chavez Company's Accounting Records Cash Receipts Deposited Date September 5 Cash Debit 1,146 September 12 2,260 September 21 4,043 September 25 2,324 September 30 1,663 11,436 Cash Payments Check Number Cash Credit 5901 1,873 5902 746 5903 424 5904 2,016 5905 932 5906 967 5907 2441 5908 360 5909 1,873 9,435 Cash Account Number 101 Date Explanation PR Debit Credit Balance August 31 Balance 16,939 September 30 Total receipts September 30 Total payments R12 D23 11,436 28,375 9,435 18,940 Additional Information (a) Check Number 5904 is correctly drawn for $2,057 to pay for computer equipment; however, the recordkeeper misread the amount and entered it in the accountinn records with a diehit to Computer Fruinment and a credit to Cash of $2 016 Date August 31 Cash Explanation Balance Account Number 101 PR Debit Credit Balance 16,939 September 30 Total receipts September 30 Total payments R12 11,436 D23 28,375 9,435 18,940 Additional Information. (a) Check Number 5904 is correctly drawn for $2,057 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 $2,016. (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. Required: 1. Prepare the September 30 bank reconciliation for this company. Bank statement balance Add: Deposit of September 30 $ 1,663 Deduct $ CHAVEZ COMPANY Bank Reconciliation September 30 16,939 Book balance Add: 1,663 0 18,602 0 Deduct Required: 1. Prepare the September 30 bank reconciliation for this company. Bank statement balance Add: $ CHAVEZ COMPANY Bank Reconciliation September 30 16,939 Book balance Add: Deposit of September 30 $ 1,663 Deduct 1,663 18,602 Deduct 0 0 0 0 Adjusted bank balance $ 18,602 Adjusted book balance $ 0 2. Prepare journal entries to adjust the book balance of cash to the reconciled balance. Note: 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 r 2 3 4 5 6. Record the entry related to the September 30 deposit, if required. Note: Enter debits before credits. Date September 30 General Journal Debit Credit 2. Prepare journal entries to adjust the book balance of cash to the reconciled balance. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first accou View transaction list Journal entry worksheet < 1 B 3 4 5 6 Record the entry related to interest earned, if required. Note: Enter debits before credits. Date September 30 General Journal Debit Credit > 2. Prepare journal entries to adjust the book balance of cash to the reconciled balance. Note: 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 4 5 6. Record the entry related to the note receivable collected, if required. Note: Enter debits before credits. Date September 30 General Journal Debit Credit View transaction list Journal entry worksheet < 1 2 3 5 6 Record the entry related to the outstanding checks, if required. Note: Enter debits before credits. Date September 30 General Journal Debit Credit < Prev G2 of 2 Next View transaction list Journal entry worksheet < 1 2 3 4 6 Record the entry related to the NSF check, if required. Note: Enter debits before credits. Date September 30 General Journal Debit Credit View transaction list Journal entry worksheet < 1 2 3 4 5 6 Record the entry related to the error on check 5904, if required. Note: Enter debits before credits. Date September 30 General Journal Debit Credit Record entry Clear entry View general journal 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, Number 5888 for $1,078 and Number 5893 for $483. Check Number 5893 was still outstanding as of September 30. The following information is available for its September 30 reconciliation. Date September 1 September 3 September 4. September 5 September 7 September 12 Description Withdrawals Deposits Balance $18,500 Check #5888 Check #5902 Cash deposit Check #5901 $ 1,078 $ 17,422 $ 746 $ 16,676 $ 1,146 $ 17,822 $ 1,873 $ 15,949 Cash deposit $ 2,260 $ 18,209 September 17 NSF check $ 645 $ 17,564 September 20 Check #5905 $ 932 $ 16,632 September 21 September 22 September 22 September 25 September 28 September 29 September 30 Cash deposit Check #5903 Check #5904 Cash deposit Check #5907 Check #5909 $ 4,043 $ 20,675 $ 424 $ 20,251 $ 2,057 $ 18,194 $ 2,324 $ 20,518 $ 244 $ 1,873 $ 20,274 $ 18,401 Collected note $ 1,540 September 30 Interest earned $ 20 $ 19,941 $ 19,961 From Chavez Company's Accounting Records Cash Receipts Deposited Date September 5 Cash Debit 1.146 From Chavez Company's Accounting Records Cash Receipts Deposited Date September 5 Cash Debit 1,146 September 12 2,260 September 21 4,043 September 25 2,324 September 30 1,663 11,436 Cash Payments Check Number Cash Credit 5901 1,873 5902 746 5903 424 5904 2,016 5905 932 5906 967 5907 2441 5908 360 5909 1,873 9,435 Cash Account Number 101 Date Explanation PR Debit Credit Balance August 31 Balance 16,939 September 30 Total receipts September 30 Total payments R12 D23 11,436 28,375 9,435 18,940 Additional Information (a) Check Number 5904 is correctly drawn for $2,057 to pay for computer equipment; however, the recordkeeper misread the amount and entered it in the accountinn records with a diehit to Computer Fruinment and a credit to Cash of $2 016 Date August 31 Cash Explanation Balance Account Number 101 PR Debit Credit Balance 16,939 September 30 Total receipts September 30 Total payments R12 11,436 D23 28,375 9,435 18,940 Additional Information. (a) Check Number 5904 is correctly drawn for $2,057 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 $2,016. (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. Required: 1. Prepare the September 30 bank reconciliation for this company. Bank statement balance Add: Deposit of September 30 $ 1,663 Deduct $ CHAVEZ COMPANY Bank Reconciliation September 30 16,939 Book balance Add: 1,663 0 18,602 0 Deduct Required: 1. Prepare the September 30 bank reconciliation for this company. Bank statement balance Add: $ CHAVEZ COMPANY Bank Reconciliation September 30 16,939 Book balance Add: Deposit of September 30 $ 1,663 Deduct 1,663 18,602 Deduct 0 0 0 0 Adjusted bank balance $ 18,602 Adjusted book balance $ 0 2. Prepare journal entries to adjust the book balance of cash to the reconciled balance. Note: 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 r 2 3 4 5 6. Record the entry related to the September 30 deposit, if required. Note: Enter debits before credits. Date September 30 General Journal Debit Credit 2. Prepare journal entries to adjust the book balance of cash to the reconciled balance. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first accou View transaction list Journal entry worksheet < 1 B 3 4 5 6 Record the entry related to interest earned, if required. Note: Enter debits before credits. Date September 30 General Journal Debit Credit > 2. Prepare journal entries to adjust the book balance of cash to the reconciled balance. Note: 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 4 5 6. Record the entry related to the note receivable collected, if required. Note: Enter debits before credits. Date September 30 General Journal Debit Credit View transaction list Journal entry worksheet < 1 2 3 5 6 Record the entry related to the outstanding checks, if required. Note: Enter debits before credits. Date September 30 General Journal Debit Credit < Prev G2 of 2 Next View transaction list Journal entry worksheet < 1 2 3 4 6 Record the entry related to the NSF check, if required. Note: Enter debits before credits. Date September 30 General Journal Debit Credit View transaction list Journal entry worksheet < 1 2 3 4 5 6 Record the entry related to the error on check 5904, if required. Note: Enter debits before credits. Date September 30 General Journal Debit Credit Record entry Clear entry View general journal