Domino Grace Is a Financial Services Company

Domino Grace is a financial services company. It has started using scientific principles of management to analyze the compensation system for its financial advisors. Under the current system, revenue goals are based on the financial advisors' performances in the previous year. Domino Grace managers believe that the financial advisors could generate much more revenue if they were encouraged to offer derivatives, a complex but potentially profitable investment product. Which of the following, if true, would strengthen the argument of Domino Grace's management?

A) Higher revenues would lead to higher profits for Domino Grace.
B) If the derivative investments perform poorly, managers at Domino Grace will not pay any financial penalties.
C) Domino Grace financial advisors are well-trained in handling complicated investment options.
D) Many other investment firms have offered derivatives.
E) Derivative investments are so complicated that most investors will not understand what they are buying.