Safety First Ltd. had poor internal control over its cash transactions. Facts about its cash position at March 31 were as follows:

• The cash books showed a balance of $18,901.62, which included undeposited receipts. A credit of $100 on the bank statement did not appear on the books of the company. The balance according to the statement was $15,550.
• When you received the cutoff bank statement on April 10, the following cancelled cheques were enclosed: No. 7500 for $116.25, No. 8126 for $150.00, No. 8815 for $253.25, No. 9621 for $190.71, No. 9623 for $206.80, and No. 9632 for $145.28. The only deposit was in the amount of $3,794.41 on April 7.
• The cashier handles all incoming cash and makes the bank deposits personally. He also reconciles the monthly bank statement. His March 31 reconciliation is shown below.

Balance, per books, March 31		$18,901.62
Add: Outstanding cheques:
9621	$190.71
9623	206.80
9632	145.28	442.79
		19,344.41
Less: Undeposited receipts		3,794.41
Balance per bank, March 31		15,550.00
Deduct: Unrecorded credit		100.00
True cash, March 31		$15,450.00

Required (max 1 page, single spaced, bullet points are acceptable):

1. You suspect that the cashier has stolen some money. Prepare a schedule showing your estimate of the loss.
2. How did the cashier attempt to conceal the theft?
3. Based only on the information above, name two specific features of internal controls that are missing.
4. If the cashiers February 28 reconciliation is known to be in order and you start your audit on April 5, what specific audit procedures could you perform to discover the theft?