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FIGURE 2 Company Value Cost of Cost of Firm Number of Founder's Founders Wealth at Debt Equity Debt Value Shares $7.5/share 12.00% $ 0

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FIGURE 2 Company Value Cost of Cost of Firm Number of Founder's Founders Wealth at Debt Equity Debt Value Shares $7.5/share 12.00% $ 0 $56,450,000 2,193,333 $16,450,000 9.00% 13.00% 14,000,000 60,292,308 2,705,641 20,292,308 11.00% 15.00% 28,000,000 XXX XXX 14.00% 18.00% 42,000,000 XXX XXX 18.00% 23.00% 56,000,000 59,156,522 2,554,203 XXX XXX 19,156,522 FIGURE 3 Cost of Capital After-tax Cost of Cost of Debt Equity Debt Equity Wt. of Debt Wt. of Equity Cost of Capital 12.00% $0 $56,450,000 0.00% 100.00% XXX 5.40% 13.00% 14,000,000 46,292,308 23.22% 76.78% XXX 6.60% 15.00% 28,000,000 32,840,000 16.02% 53.98% XXX 8.40% 18.00% XXX 10.80% 23.00% 56,000,000 XXX 3,156,522 XXX XXX XXX 94.66% 5.34% XXX

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