Explanation:

Kawasaki's informal referral arrangement with other professionals, even without cash payments, constitutes a quid pro quo arrangement under Standard VI(C) – Referral Fees. This Standard requires disclosure of any compensation, consideration, or benefit received from or given to others for the recommendation of products or services. Since Kawasaki did not disclose this arrangement to clients, it violates Standard VI(C).

Option A is incorrect because the arrangement does violate the Standards. Option C is incorrect because the issue pertains to referral fees (Standard VI(C)), not general client communication principles.