Audit & Assurance
13864 Points
Posted on 30 April 2021
When you ask for balance confirmation, it is the amount which is shown in the books which is needed to be disclosed. In case the balance in your books is Zero, you have to give negative confirmation stating that the balance in your books is Zero, followed by a reconciliation statement where you will be disclosing the provision created (for whatever reason).
Hope I am able to clarify your query