Not knowing what her idea of a 'modest budget' is makes this difficult. She might consider the Yamaha A-SX01 line of integrated amplifiers. They run for ~$350 for the 301 to ~$800 for the 801 at retail price, often are discounted however. They have built in DAC and phonostage, subwoofer output, and are considered very good products. Of course there are other options as well. A full service integrated and a CD player would be all she would need. Onyko make a budget CD player, can be found online <$200 that had coax and optical output, could be run either analog or digital into a integrated with built in DAC.
What is the budget?