DISCUSSION QUESTIONS 1. From a conceptual standpoint, how do the requirements of SarbanesOxley related to nonaudit services affect perceptions of the auditors independence? 2. Assume that your firm was auditing General Electric in 2000 and was recommending an adjustment to its financial statements that reduced net income. Based on the fees paid to your firm in 2000, what incentive(s) might your firm consider in insisting upon this adjustment? How would your firms incentive(s) differ after 2004? 3. Compare General Electrics fees prior to (2000) and following (2004, 2011, and 2018) the implementation of SarbanesOxley. Based on the trends in these fees and various components of these fees, comment on the effect of SarbanesOxley on General Electrics fees. 4. Repeat question 3 for the Fortune 100 companies. Are the trends for these companies similar to those for General Electric? 5. For General Electric and the Fortune 100 companies, can you identify the increased costs of section 404 compliance cited in the press? 6. Comparing the fees in 2004 versus those in 2011 and 2018 for General Electric and Fortune 100 companies, does it appear modifications to the provisions of SarbanesOxley have reduced the cost of compliance? 7. Refer to GEs 2019 Proxy Statement (filed March 18, 2019). What is the explanation for the high level of audited-related fees in 2017 (not shown in this case) and 2018 compared to historica