Test DOCX 37 KB .. Which of the following is an illustration of a situation of agency conflict? a. The company buys a corporate jet for senior officers frequent business travels presumably to save travel cost. The CEO convinces the Board of Directors to grant him a severance package amounting to $20 million in cash and stock (allegedly to avoid costly lawsuits) even though he is being forced out for poor performance An oil company borrowed a large sum by issuing bonds to the public and invested the money in a risky social networking start-up, although the bond carries no restrictions on such an investment. d. ABC Co, borrowed a loan from XYZ National Bank at the same time as it paid an extra dividend to its shareholders (dividend was announced 2 months ago) Open Word 10. Which of the following cases is not cor insider trading? a. You bought on a tip from your broker W RRORE