Bernard is an institutional money manager specializing in a quantitative investment strategy. He developed his own quantitative model that he uses exclusively as the investment decisionmaking tool for client accounts. Bernard heavily markets his comprehensive and exclusive model to clients and prospective clients as being an effective tool to manage risk. After using the model for several years, Bernard discovers an error that inadvertently eliminated one of the key components for managing risk, leading to underperformance as a result of industry overexposure. During that time, several clients raised questions about their portfolio performance, but Bernard attributed it to market volatility. Bernard revises the model to address the error and begins to promote his new and improved exclusive and comprehensive quantitative model. Bernards conduct is A. unacceptable because the original model resulted in underperformance. B. acceptable because factors in quantitative models are proprietary and do not need to be disclosed. C. unacceptable because he failed to disclose the error in the model and its impact on client performance. D. acceptable because Foss corrected the error and uses the new model. Required: Analyze each of the answers above in the perspective of corporate governance and professional ethical conduct and regulations.