Please include any relevant reference with APES 110.

Write answers to each of the situations described below addressing the required criteria (i.e. 1 & 2) in each independent case. You may use a tabulated format if helpful having Threats, Safeguards and Objective Assessment as column headings. Stephen Tiler CPA has been appointed as a junior auditor of Best Solutions Limited (BSL). One of his first tasks is to review the firms audit clients to ensure that independence requirements of APES 110 (Code of Ethics for Professional Accountants) are being met. His review has revealed the following:

(a) BSL has recently been approached by Western Yachts Limited (WYL) to conduct its audit to which BSL has agreed. Paul Levesque is one of the audit partners at BSL who is being considered to lead the WYL audit. Pauls sister, Lynn Levesque is a cosmetic surgeon in Perth who is widely regarded for excellence in plastic surgery. Paul is aware that Lynn holds significant shares in WYL.

(b) BSL has recently been approached by Western Tech Limited (WTL) to conduct its audit to which BSL has agreed. The accountant and financial advisor at WTL, Tom Hardy is the brother of James Hardy CA, who is the audit partner at BSL. James has put in a request to lead the WTL audit. James believes that he can get the WTL audit completed efficiently and effectively since he shares a very good relationship with Tom and can get all the necessary information from him