An auditor ordinarily should send a standard confirmation request to all banks with which the entity has done business during the year under audit, regardless of the year-end balance, because this procedure

A. Provides for confirmation regarding compensating balance arrangements.

B. Detects kiting activities that may not otherwise be discovered.

C. Seeks information about indebtedness to the bank.

D. Verifies securities held by the bank in safekeeping.


C. Seeks information about indebtedness to the bank.

Business

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