Multiple Choice: Communication of economic events is the part of the accounting process that involves a. identifying economic events. b. quantifying transactions into dollars and cents. c. preparing financial statements d. recording and classifying information. 1. Which of the following would not be considered internal users of accounting data for a company? a. The president of a company. b. The controller of a company c. Creditors of a company d. Salesmen of a company. 2. 3 Ethics are the standards of conduct by which one's actions are judged as right or wrong. honest or dishonest. fair or unfair. All of these answer choices are correct. a. b. c. d. 4. The common characteristic possessed by all assets is a. b. c. d. long life. great monetary value. tangible nature. future economic benefit. 5. Liabilities are existing debts and obligations. b. a. are future economic benefits. possess service potential. d. c. are things of value used by the business in its operation. 6. Equity can be described as a. creditorship claim on total assets. b. ownership claim on total assets. c. benefactor's claim on total assets. d. debtor claim on total assets. Salam Company buys a $12,000 van on credit. This transaction will affect the a. statement of financial position only b. income statement only c. income statement and retained earnings statement only d. income statement, retained earnings statement, and statement of financial position. 7. 8. The double-entry system requires that each transaction must be recorded a. in at least two different accounts. b. in two sets of books. c. in a journal and in a ledger. d. first as a revenue and then as an expense