The bank columns in the cash book for June 2019 and the bank statement for that month for Phillips Hardware Company Ltd are as follows:

Dr	Cash Book				Cr
2019		$	2019		$
1-Jun	Balance b/d	4,230	5-Jun	R.Red	540
7-Jun	P. Ryan	186	12-Jun	J. Rebus	1,557
16-Jun	G. Grey	225	16-Jun	Y.Yale	123
28-Jun	J. Jim	672	29-Jun	Blister Disco	66
30-Jun	T. Fling	1,746	30-Jun	Balance c/d	4,773
		7,059			7,059

Bank Statement
June 2019		Dr	Cr	Balance
		$	$	$
1	Balance b/d			4,230
7	Cheque		186	4,416
5	R.Red	540		3,876
16	Cheque		225	4,101
17	J. Rebus	1,557		2,544
18	Y.Yale	123		2,421
28	Cheque		672	3,093
29	SLM standing order	156		2,937
30	G.Rice: trader's credit		192	3,129
30	Bank charges	129		3,000

As the accountant, you have been asked to do the following:

1. Prepare an updated cashbook for the month (8 marks) (CLO 5)
2. Prepare a bank reconciliation statement for the month (8 marks) (CLO 5)
3. Advise the directors of Phillips Hardware how they can use the internal control measures listed below to mitigate against error and fraud in the business. (CLO 6):

1. Physical Observation (3 marks)
2. Authorization and Approval (3 marks)
3. Segregation of Duties (3 marks)