RST Hotels manages a chain of hotels. Financial transactions for 2023 include:

Transactions (in $ millions)	Amount
Cash Receipts	180.0
Credit Sales	70.0
Cash Payments	130.0
Accounts Receivable	45.0
Renovation Expenses	50.0
Estimated Future Renovation Costs	20.0

Requirements:

• Prepare RST Hotels' income statement for 2023 using the modified cash basis.
• Calculate net income considering the conservatism principle.
• Discuss the impact of estimated future renovation costs on financial statements.
• Analyze the treatment of accounts receivable and renovation expenses under the conservatism principle.