Which of the following stockholdings will not impair the independence of a CPA firm?

The correct choice is based on the understanding of independence in relation to stockholdings in a CPA firm. The independence of a CPA firm is considered impaired when any partner or professional staff has a financial interest, including stockholdings, in a company that the firm is auditing or provides services to.

In the context provided, the holdings by New York partners do not impact independence as they do not affect the audit or consulting services related to the entities being audited. Conversely, stockholdings by Chicago partners could potentially be linked to local clients, given that they are in the same geographic market. Additionally, holdings by Chicago professional staff working specifically on the job present a direct conflict of interest as their stockholdings are directly related to the audit engagement at hand.

Maintaining a level of distance from financial interests in clients is essential to uphold the principles of integrity and objectivity, which are foundational to the profession. Therefore, the holdings by New York partners are viewed as not impairing independence, allowing them to provide unbiased opinions and services without the risk of being influenced by financial interests in a client entity.