EXHIBIT C2.1 KF Income Statements: 2012-2013 2012 2013 Sales 56,572,800 S7,811,500 Cost of goods sold 4,896,700 5,866,200 Gross margin 5 1,676,100 $1,945,300 Administrative 1,281,700 1,492,200 Depreciation 72,000 86,000 Earnings before interest and taxes $ 322,400 $ 367,100 Interest 37,900 31,600 Earnings before taxes S 284,500 $ 335,500 Taxes (at 40%) 113,800 134,200 Net income $ 170,700 $ 201,300 EXHIBIT C2.2 KF Balance Sheets: 2012-2013 2012 2013
Assets Cash S 328,000 $ 244,000 Accounts receivable $1,004,200 S 1,106,600 Inventory $ 765,400 $1,222,300 Other current S 39,200 $ 46,800 Current assets 52,136,800 $ 2,619,700 Gross fixed assets $ 372,200 S 493,600 Accumulated depreciation ( $ 147,900) (S 233,800) Net fixed assets $ 224,300 $ 259,800 Total assets $ 2,361,100 $2,879,500 Liabilities and Net Worth Accounts payable $ 345,700 5 544,800 Notes payable 5 63,200 5 63,200 Accruals $ 164,300 $ 156,100 Current liabilities 5 573,200 5 764,100 Long-term debt $ 316,000 $ 252,800 Common stock (62,000 shares outstanding) 5 948,000 5 1,137,600 Retained earnings $ 524,000 $ 725,000 Total liabilities and net worth $2,361,200 $2,879,500