Dropping 12V to 5V using voltage regulator(s)

MarkT:
7805 will handle 1A at 12V input fine, so long as you use a big enough heatsink.

i see, looks like i still can't do the test yet then, no heatsinks yet.

just to be sure though, from the datasheet;
it says Maximum Power Dissipation is PD=(TJ(max)- TA) / *0JA (*0 is actually theta)
that becomes PD=(150-33)/19 = 6.16W
so; it won't handle 7W, right ?

MarkT:
But you'll be better off using a cheap switch-mode DC-DC converter like the eBay LM2596 units,
much higher efficiency, no heatsink needed (only downside is the noise which could be an issue
with sensitive low-voltage analog signals).

okay, looks like i'll be going with that option - how about the current, those converters will pass the input supply current through with no losses ?