Discuss implications of accepting non-audit services from an external auditor on independence.

• A. Non-audit services never affect independence.
• B. They can create self-review or familiarity threats; safeguards include pre-approval, independence policies, and restricting service types or client relationships.
• C. They always improve independence due to broader knowledge.
• D. They require the auditor to rotate the engagement partner for every service.

Answer: (B)