How to erase all content ?

Hi, I have just bought a nice 32GB 3GS and would like to give my 3G to my daughter. I would like to erase all content before giving to her, to make it like new. This 3G iPhone is factory unlocked (Australia) so how should I proceed ? Thank you !

http://manuals.info.apple.com/enUS/iPod_touch_3.1_UserGuide.pdf

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