Please answer A&B. Thank you

QUESTION B3 (Ethic | Auditor's Independence) ou are an audit manager of Pink Partners & Co (Pink) and are planning the audit of Golden Finance Co (Golden), a banking institution which provides a range of financial services including loans. Your firm has audited Golden for four years andt year-end is 30 September 2017 he c At the end of August 2017, Golden's financial controller left and the new replace due to start until approximately two months after the year end. The finance director the sister-in-law of the audit engagement part can be seconded to Golden for three months to act as the ment is not , who is ner, has asked if a member of the audit team temporary financial controller. You are aware that a number of the audit team members currently bank with G two team members have significant loans owing to the company. olden and Pink's taxation division also provides services to Golden. They have been approached by taxation authorities, for which the fees quoted are substantial. epresent them in negotiations to resolve some outstanding issues with the The finance director has informed the audit engagement partner that when the audit is complete, she would like the whole team to attend an evening watching the national football eam play a match followed by a luxury meal. EQUIRED: Jsing the information above: (a) Identify and explain FIVE ethical threats which may affect the independence of Pink Partners & Co's audit of Golden Finance Co; and b) For each threat, explain how it might be reduced to an acceptable level. [5x2-10 marks]