8) Indicate whether each of the following statements is True (T) or False (F). (1 pt each) The three major categories of the master budget are the operating budgets, the capital budgets, and the financial statement budgets. The master budget usually starts with a budgeted income statement. The first budget prepared in a master budget is the sales budget. The purchasing manager should provide the projections for the sales budget (forecast). Participative budgeting means that lower level employees are primarily responsible for preparing the budget. A master budget usually provides information about plans and expectations for the upcoming 1 year period. The nature of planning changes with the length of time period being considered. Generally, the shorter the time period, the more specific the plans. Four purposes or reasons for budgeting involve planning, coordination, performance measurement and corrective action.