True/False Choose the best answer by circling one letter. Each correct answer is worth_ _point(s). 1. A quick way to calculate a project's NPV is the cash payback method. TF 2. Capital budgeting decisions can have a big impact on a company's future profitability. TF 3. When NPV = 0, the project would not be acceptable. TF 4. Capital budgeting decisions usually involve large investments. T F 5. Once set, standards should not be changed during the year. T F 6. The difference between actual costs and standard costs is a variance. TF 7. If actual costs are less than standard costs, the variance is favorable. TF 8. In theory, standards and budgets are essentially the same. T F 9. Standards may be useful in setting selling prices for finished goods. TF 10. Variance analysis facilitates the principle of "management by exception." TF