You are engaged to examine the financial statements of Spillane Company for the year ended December 31. Assume that on November 1, Spillane borrowed $500,000 from Second National Bank to finance plant expansion. The long-term note agreement provided for the annual payment of principal and interest over five years. The existing plant was pledged as security for the loan. Due to the unexpected difficulties in acquiring the building site, the plant expansion did not begin on time. To use the borrowed funds. management decided to invest in stocks and bonds and on November 16, invested the $500,000 in publicly traded securities. Required: Identify the relevant financial statement assertions for the publicly traded securities account (an asset) based on the PCAOB's five management assertions about the financial statements. Financial Assertions and Audit Objectives Obtain evidence that the securities are bona fide and held by Spillane or a responsible custodian and Obtain evidence. that the loan transaction and securities purchase transactions actually took place during the year under audit Obtain evidence that all the securities purchase transactions were recorded Obtain evidence that Spillane owned the securities and Obtain evidence that $500,000 is the amount actually owed on the loan. Obtain evidence of the cost and market value of the securities held at December 31. Decide whether any write-downs to market are required by the appropriate reporting framework Obtain evidence of the committed nature of the assets, which should mean they should be in a noncurrent classification like the loan. Obtain evidence that restrictions on the use of the assets are disclosed fully and agree with the loan documents Type of service Existence and Occurrence Completeness Rights and Obligations Presentation and disclosure