Which of the following statements are true regarding the selling and administrative expense budget? Select all that apply.

It excludes depreciation expense because it is not a cash flow.

It estimates the cash disbursements for selling and administrative expenses that appear in the cash budget.

It includes estimated variable and fixed selling and administrative expenses.

It impacts the budgeted cost of goods sold reported on the income statement.

It includes depreciation expense even though it is not a cash flow.

It impacts the budgeted net operating income reported on the income statement.

Group of answer choices

$1,2,$ and $3$ only

$1,4,$ and $5$ only

$2,3,$ and $6$ only

$2,3,5,$ and $6$ only