Question $12(9$ points$)$

You are auditing the financial statements of Bluth Corporation for the year ended December $31,$ and you are about to begin an audit of the non$-$current investment securities$.$

Bluth Corporation's records indicate that the company owns various bearer bonds, as well as $25\%$ of the outstanding common shares of The Yellow Banana Stand Inc. All securities in Bluth Corporation's portfolio are actively traded in the Toronto Stock Exchange.

The various securities located at the two locations are as follows:

Recently acquired securities are in the company's safe in the custody of the treasurer.

All other securities are in a bank safety deposit box.

Required: Develop one test of controls audit procedure for each of the following audit objective:

To evaluate the completeness and validity of the securities held in Bluth

Corporation's portfolio. $(3$ marks$)$

To evaluate the effectiveness of the physical security of the financial securities stored in the company's safe in the custody of the treasurer. $(3$ marks$)$

To evaluate the effectiveness of the physical security of the financial securities stored in the bank's safe deposit box. $(3$ marks$)$