Companies usually do various transactions with banks involving borrowing loans. So, auditor needs to collect information about loans given by bank to company. In order to verify the transactions withbank, auditor makes confirmation request and send it to bank for verification of existence of transaction occur during the year. To choose: The correct option for the reason that an auditor sends confirmation request to bank under the audit.

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Chapter 16, Problem 16.14MCQ

To determine

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Companies usually do various transactions with banks involving borrowing loans. So, auditor needs to collect information about loans given by bank to company. In order to verify the transactions withbank, auditor makes confirmation request and send it to bank for verification of existence of transaction occur during the year.

To choose: The correct option for the reason that an auditor sends confirmation request to bank under the audit.

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