The following statements are either True or False. 1. When evaluating performance, past performance generally is a superior criterion than is budgeted performance. 2. The cash budget is prepared in part from information contained in the capital expenditures budget. 3. A basic principle of good budgeting is that people normally feel a greater responsibility for reaching goals that they have had a hand in setting. 4. Since selling expenses affect the amount of sales, the selling expense budget is normally prepared before the sales budget. 5. Variable costs are those costs that change in proportion to the change in production volume. 6. Cost-volume-profit analysis is a very precise tool in determining the profit consequences of cost changes, price changes, and volume changes. 7. In cost-volume-profit analysis a frequently made assumption is that the level of production is the same as the level of sales