Evaluate and discuss the following statement: "In many audits in which accounts receivable is material, the requirements of confirming customer balances is a waste of time and would not be performed by competent auditors if it were not required by auditing standards. When internal controls are excellent and there are a large number of small receivables from customers who do not recognize the functions of confirmation, it is a meaningless procedure. Examples include well-run utilities and retail stores. In these situations, tests of controls and substantial tests of transactions are far more effective than confirmations."