ii) XYZ is a large audit firm with clients located around Bangladesh. During April 2018, XYZ was successful in obtaining a new client, Clear Diagnostics Ltd (CDL), which is one of Bangladesh's leading providers of diagnostic imaging services and owns 30 diagnostic clinics across Bangladesh. Prior to the appointment of XYZ as the auditor of CDL for the financial year ended 30 June 2018, some preliminary analysis identified the following information: Alex Silver, one of the assistants at XYZ intended to be part of the 30 June 2018 audit team, owns shares in CDL. Alex's interest is not material to him. XYZ was previously engaged by CDL to value its intellectual property. The consolidated statement of financial position as at 30 June 2018 includes intangible assets of $25 million, which were valued by XYZ on 1 March 2018, following CDL's acquisition of another diagnostic imaging company. The intangibles are considered material to CDL. Required a) Identify and explain any potential threats to XYZ's independence as CDL's auditor. b) Explain what action XYZ should take, if any, to eliminate any potential threats identified in (a). (c) Identify an appropriate safeguard that XYZ could implement to reduce the risk of a similar independence threat occurring in the future. a