You are the accountant of ADAM Company and you are asked to deliver a report to the Board of Directors, and you have to answer the questions posed about the financial statements and you are asked to explain the following terms to the board of directors: Cost, Expense Loss as used for financial reporting in conformity with GAAP. In your explanation, discuss the distinguishing characteristics of the terms and their similarities and interrelationships. 1. Classify each of the following items as a cost, expense, loss or assets, liability, and explain how the classification of each item may change: short term investment less than 3 months Bad debts expense. Copyright Organization cost. bad debt expenses investment classified as hold for sale