Choice "B" is correct. Independence is impaired by business relationships with the client, including acting as a director of the client.
Choice "a" is incorrect. Independence is not impaired by a fully collateralized car loan.
Choice "d" is incorrect. Independence is not impaired by an account that a member had with the client in prior years. Additionally, independence is not impaired by an existing bank account that is fully insured by the government.
Choice "c" is incorrect. Independence is not impaired because a member and the board member of a client belong to the same church.
