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PLEASE HELP ASAP!! THANK YOU Chavez Company most recently reconciled its bank st

ID: 2396289 • Letter: P

Question

PLEASE HELP ASAP!! THANK YOU

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 $1,017 and No. 5893 for $520. The following information is available for its September 30, 2013, reconciliation.

  

  

  

  

  

1,731

  

974

  

  

Check No. 5904 is correctly drawn for $2,091 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 $2,052. 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 $1,520 note for Chavez Company by the bank. The bank deducted a $22 collection fee. The collection and fee are not yet recorded.

44.

Required information

Prepare the September 30, 2013, bank reconciliation for this company.

     

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 $1,017 and No. 5893 for $520. The following information is available for its September 30, 2013, reconciliation.

Explanation / Answer

Answer:

Chavez Company

Bank reconciliation

September -30-2013

Bank statement balance

20780

Book Balance

19782

Add:

Add:

Deposit -sep-30

1731

Interest earned

22

Proceeds from note
(1520-22)

1498

1731

1520

22511

21302

Deduct

Deduct

Check No:5893

520

NSF Check

655

Check No:5806

969

Error(2091-2052)

39

Check No:5808

414

694

1903

Adjusted bank Balance

20608

Adjusted book Balance

20608

Chavez Company

Bank reconciliation

September -30-2013

Bank statement balance

20780

Book Balance

19782

Add:

Add:

Deposit -sep-30

1731

Interest earned

22

Proceeds from note
(1520-22)

1498

1731

1520

22511

21302

Deduct

Deduct

Check No:5893

520

NSF Check

655

Check No:5806

969

Error(2091-2052)

39

Check No:5808

414

694

1903

Adjusted bank Balance

20608

Adjusted book Balance

20608

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