Its false. There area least a couple of dozen different advance curves that came from the factory on LA engines with ECUs. Aftermarket is adds an additional variable.
Not really. 5*BTDC at 650 rpm for the automatics was to reduce HC emmissions while idling. To use the factory inition, the engine must have the matching distributor. The factory distributor advanced quickly from idle rpm, so by 950 rpm it had the same timing as it would have if there was no concern about emmissions.
Right is better. Maximum it will tolerate for starting does not identify maximum power. Your engine was not spec'd at 5*BTDC for improved starting, but for emissions. Factory non-smogged high performance LA engines will provide the strongest (and most fuel efficient) idle between 10 and 14* BTDC. With your automagic you can test this by placing the selector into D and noting the drop in rpm. The strongest idle at a given rpm, will be the adjustments (timing, fuel mix) that can tun the transmission converter and pump with the least drop of rpm.
Getting the distrributor advance information will be immensly helpful. You can do it on the car, but its easier to do it on the machine.