Exhibit 12
STATEMENTS REGARDING COMPUTATION OF RATIOS
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December 31,
June 30, June 30,
2004 2004 2005 2005
2000 2001 2002 2003 (Actual) (pro forma) (actual) (pro forma)
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Pretax Income $1,140,253 $1,278,010 $1,289,941 $1,300,754 $1,598,200 $1,598,200 $762,316 $762,316
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Add Back Fixed Charges
Certificates Interest
Expense (1) 0 0 0 0 0 979,642 0 398,858
Amortization related
toline of credit 2,917 0 0 0 0 0 0 0
Amortization related to
debt offering (2) 0 0 29,874 113,466 174,143 241,369 89,171 156,397
Interest Expense 65,282 26,835 131,367 692,138 929,529 929,529 622,203 622,203
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Total Fixed Charges 68,199 26,835 161,241 805,604 1,103,672 2,150,540 711,374 1,177,458
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Earnings $1,208,452 $1,304,845 $1,451,182 $2,106,358 $2,701,872 $3,748,740 $1,473,690 $1,939,774
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(1) Interest expense is adjusted to reflect the sale of all remaining
certificates offered (15,379,000 as of December 31, 2004 and 12,523,000 as
of June 30, 2005) and assumes a weighted average interest rate of 6.370%
per year ($979,642 total as of December 31, 2004 and $398,858 as of June
30, 2005). Actual interest rates we will pay on certificates will be set
forth in a supplement to this prospectus. Further assumes that we derive no
income from the application of certificate sale proceeds to new mortgage
loans.
(2) Assumes all certificates are sold and underwriting fees are amortized over
the life of the certificates which amounts to $67,226 per year.