The correct answer is D. Identifying -> Recording -> Communicating.
The accounting process is a series of steps that accountants follow to record, classify, summarize, and report financial information. The first step in the accounting process is to identify the financial transactions that need to be recorded. This includes transactions such as sales, purchases, and payments. Once the transactions have been identified, they are recorded in the accounting records. The accounting records are used to track the financial activity of a business. The next step in the accounting process is to classify the transactions. This involves grouping the transactions into different categories, such as revenue, expenses, assets, and liabilities. The classification of transactions allows accountants to prepare financial statements. The final step in the accounting process is to communicate the financial information to users. This can be done through financial statements, tax returns, or other reports.
Option A is incorrect because communicating is the final step in the accounting process, not the first step.
Option B is incorrect because recording is the second step in the accounting process, not the first step.
Option C is incorrect because identifying is the first step in the accounting process, not the third step.