ABC Legal Services provides legal consultation. Financial transactions for 2023 are as follows:

Transactions (in $)	Amount
Cash Receipts	120,000
Credit Sales	40,000
Cash Payments	80,000
Accounts Receivable	20,000
Professional Fees	50,000
Estimated Legal Settlements	10,000

Requirements:

• Prepare ABC Legal Services' income statement for 2023 using the modified cash basis.
• Calculate net income considering the conservatism principle.
• Discuss the impact of estimated legal settlements on financial statements.
• Analyze the treatment of accounts receivable and professional fees under the conservatism principle.