Unrestricted Net Assets (Tables)

12 Months Ended

Dec. 31, 2013

Unrestricted Net Assets

Condensed Balance Sheets

Balance Sheets	2013			2012
Assets
Cash and cash equivalents	$	113,700		$	123,200
Accounts receivable, net		1,512,300			2,531,700
Inventories		2,217,300			1,910,500
Other current assets		165,500			111,900
Total current assets		4,008,800			4,677,300
Investment in subsidiary		1,225,000			1,225,000
Property and equipment		10,519,200			10,864,600
Intercompany receivable		716,700			471,400
Other assets		324,500			268,800
Total assets	$	16,794,200		$	17,507,100
Liabilities
Line of credit	$	1,517,200		$	1,887,700
Accounts payable		2,524,500			1,584,300
Accrued liabilities		1,001,700			884,300
Current maturities of debt and capital leases		4,453,300			453,100
Total current liabilities		9,496,700			4,809,400
Long-term debt and capital leases		17,700			3,982,400
Notes to related parties		3,497,900			3,407,000
Total liabilities		13,012,300			12,198,800
Stockholders’ equity
Common stock		15,100,300			15,100,300
Preferred stock		227,600			227,600
Accumulated deficit		(11,546,000	)		(10,019,600	)
Total stockholders’ equity		3,781,900			5,308,300
Total liabilities and stockholders’ equity	$	16,794,200		$	17,507,100

Condensed Statement of Operations

Statement of Operations	2013			2012
Net sales	$	14,024,400		$	16,228,300
Cost of goods sold		11,354,400			12,383,900
Selling, marketing, and retail expenses		1,710,600			1,754,500
General and administrative expenses		2,094,200			1,984,600
Income (loss) from operations		(1,134,800	)		105,300
Other income and (expense)
Interest expenses		(448,200	)		(380,000	)
Loss on disposal of assets		(77,600	)
Other income		138,300			196,500
Provision for taxes		(4,100	)		(2,700	)
		(391,600	)		(186,200	)
Net loss	$	(1,526,400	)	$	(80,900	)

Condensed Statement of Cash Flows

Statements of Cash Flows	2013			2012
Cash flows from operating activities	$	935,800		$	583,700
Cash flow from investing activities
Purchase of property and equipment		(342,000	)		(1,086,600	)
Proceeds from sale of equipment		-			5,000
Net cash flows from investing		(342,000	)		(1,081,600	)
Cash flow from financing activities
Net borrowings (repayments) on line of credit		(370,500	)		992,400
Borrowings on long term debt		539,700			184,700
Repayment of long-term debt		(524,100	)		(456,800	)
Payment on obligations under capital leases		(3,100	)		(46,400	)
Net change in intercompany payable		(245,300	)		(240,000	)
Net cash flows from financing activities		(603,300	)		433,900
Cash, beginning of year		123,200			187,200
Cash, end of year	$	113,700		$	123,200