Take the following as truth: Clearly, some amount of stock compensation makes sense in order to tie the interests of the shareholders with the interests of top executives; however, the amount and structure are both important to ensure equity and avoid perverse incentives to maximize value in the short-term at the expense of the longer-term.
Then the following statement: "An unknown amount of stock compensation makes sense in order to tie shareholders' interests." is true, false, or inconclusive?
Answer: True