GHI Fashion sells clothing and accessories. Financial transactions for 2023 are detailed below:

Transactions (in $ millions)	Amount
Cash Sales	160.0
Credit Sales	70.0
Cash Payments	110.0
Accounts Receivable	45.0
Inventory Purchases	80.0
Estimated Product Returns	15.0

Requirements:

• Prepare GHI Fashion's income statement for 2023 using the modified cash basis.
• Calculate net income considering the conservatism principle.
• Discuss the impact of estimated product returns on financial statements.
• Analyze the treatment of accounts receivable and inventory purchases under the conservatism principle.