Many people believe that a CPA cannot be truly independent when payment of fees is dependent on the management of the client. Explain two approaches that could reduce this appearance of lack of independence.

A.

The approval of both the CEO and CFO in the appointment of auditors, and a rotation of the lead and concurring audit partners every eight years.

B.

Communication with the previous auditors regarding the change in CPA firms, and satisfactory performance of other non-audit related services.

C.

The use of an audit committee to select auditors made up of directors who are not part of management, and a requirement that all changes of auditors and reasons therefore be reported to the SEC or other regulatory agency.

D.

All of the above.