A CPA obtains a January 10 cutoff bank statement for his client directly from the bank. Few of the outstanding checks listed on his clients December 31 bank reconciliation cleared during the cutoff period. A probable cause for this is that the client

a. Is engaged in kiting.

b. Is engaged in lapping.

c. Transmitted the checks to the payees after yearend.

d. Has overstated its yearend bank balance.