The Company'sCompany’s financial statements have been prepared in accordance with US GAAP. Preparing the financial statements requires management to use judgment in the application of these accounting policies, including making estimates and assumptions. These judgments will affect the reported amounts of the Company'sCompany’s assets and liabilities and the disclosure of contingent assets and liabilities as of the dates of the financial statements and will affect the reported amounts of revenue and expenses during the reporting periods. It is possible that the carrying amount of the Company'sCompany’s assets and liabilities, or the results of reported operations, will be affected if management'smanagement’s estimates or assumptions prove inaccurate.

Management of the Company evaluates the following accounting estimates on an ongoing basis, and has discussed the development and selection of these estimates and the management discussion and analysis disclosures regarding them with the managing memberManaging Member of the Company.

Upon acquisition of real properties, the Company records them in the financial statements at cost. The purchase price is allocated to tangible assets, consisting of land and building, and to identified intangible assets and liabilities, which may include the value of above market and below market leases and the value of in-place leases. The allocation of the purchase price is based upon the relative fair value of each component of the property. Although independent appraisals may be used to assist in the determination of fair value, in many cases these values will be based upon management'smanagement’s assessment of each property, the selling prices of comparable properties and the discounted value of cash flows from the asset.

The fair values of above market and below market in-place leases will be recorded based on the present value (using an interest rate which reflects the risks associated with the leases acquired) of the difference between (i) the contractual amounts to be paid pursuant to the in-place leases and (ii) an estimate of fair market lease rates for the corresponding in-place leases measured over a period equal to the non-cancelable term of the lease including any bargain renewal periods. The above market and below market lease values will be capitalized as intangible lease assets or liabilities. Above market lease values will be amortized as an adjustment of rental income over the remaining term of the respective leases. Below market lease values will be amortized as an adjustment of rental income over the remaining term of the respective leases, including any bargain renewal periods. If a lease were to be terminated prior to its stated expiration, all unamortized amounts of above market and below market in-place lease values relating to that lease would be recorded as an adjustment to rental income.

The fair values of in-place leases will include estimated direct costs associated with obtaining a new tenant, and opportunity costs associated with lost rentals which are avoided by acquiring an in-place lease. Direct costs associated with obtaining a new tenant may include commissions, tenant improvements, and other direct costs and are estimated, in part, by management'smanagement’s consideration of current market costs to execute a similar lease. These direct costs will be included in intangible lease assets on the balance sheet and will be amortized to expense over the remaining term of the respective leases. The value of opportunity costs will be calculated using the contractual amounts to be paid pursuant to the in-place leases over a market absorption period for a similar lease. These intangibles will be included in intangible lease assets on the balance sheet and will be amortized to expense over the remaining term of the respective leases. If a lease were to be terminated prior to its stated expiration, all unamortized amounts of in-place lease assets relating to that lease would be expensed.

The determination of the relative fair values of the assets and liabilities acquired will require the use of significant assumptions with regard to the current market rental rates, rental growth rates, discount and capitalization rates, interest rates and other variables. If management'smanagement’s estimates or assumptions prove inaccurate, the result would be an inaccurate allocation of purchase price, which could impact the amount of reported net income.

Properties are carried at original cost, less accumulated depreciation and amortization. The Company tests long-lived assets for recoverability when events or changes in circumstances indicate that the carrying value may not be recoverable. For properties the Company will hold and operate, management determines whether impairment has occurred by comparing the property'sproperty’s probability-weighted future undiscounted cash flows to its current carrying value. For properties held for sale, management determines whether impairment has occurred by comparing the property'sproperty’s estimated fair value less cost to sell to its current carrying value. If the carrying value is greater than the net realizable value, an impairment loss is recorded to reduce the carrying value of the property to its net realizable value. Changes in these assumptions or analysis may cause material changes in the carrying value of the properties.

AEI Fund Management, Inc. allocates expenses to each of the funds they manage primarily on the basis of the number of hours devoted by their employees to each fund'sfund’s affairs. They also allocate expenses at the end of each month that are not directly related to a fund'sfund’s operations based upon the number of investors in the fund and the fund'sfund’s capitalization relative to other funds they manage. The Company reimburses these expenses subject to detailed limitations contained in the Operating Agreement.

For the years ended December 31, 20172022 and 2016,2021, the Company recognized rental income of $944,311$304,844 and $1,051,745,$656,749, respectively. In 2017,2022, rental income decreased due to leasing a property to a new tenant at a lower annual rent and rent thatthe sale of three properties, which was not received from the tenant of the Sports Authority store, as discussed below.  These decreases were partially offset by additionala rent received fromincrease on one property acquisition in 2016 and rent increases on two properties.property. Based on the scheduled rent for the properties owned as of February 28, 2018,2023, the Company expects to recognize rental income of approximately $961,000$150,000 in 2018.2023.

For the years ended December 31, 20172022 and 2016,2021, the Company incurred LLC administration expenses from affiliated parties of $144,461$85,936 and $149,251,$124,596, respectively. These administration expenses include costs associated with the management of the properties, processing distributions, reporting requirements and communicating with the Limited Members. During the same periods, the Company incurred LLC administration and property management expenses from unrelated parties of $119,101$86,111 and $102,892,$88,271, respectively. These expenses represent direct payments to third parties for legal and filing fees, direct administrative costs, outside audit costs, taxes, insurance and other property costs.

The Company ownsowned a 40% interest in thea former Sports Authority store in Wichita, Kansas. On March 2, 2016, the tenant, TSA Stores, Inc., and its parent company, The Sports Authority, Inc., the guarantor of the lease, filed for Chapter 11 bankruptcy reorganization. In June 2016, the tenant filed a motion with the bankruptcy court to reject the lease for this store effective June 30, 2016, at which time the tenant returned possession of the property to the owners. As of December 31, 2017,2020, the tenant owed $19,366 of past due rent, which was not accruedrecorded for financial reporting purposes. On March 23, 2021, a motion to dismiss the bankruptcy case was issued by a federal judge to The Sports Authority, Inc., the Company will therefore not be receiving any of the past due rent. The owners listed the property for lease with a real estate broker in the Wichita area. While the property iswas vacant, the Company iswas responsible for its 40% share of real estate taxes and other costs associated with maintaining the property.  The annual rent from this property represented approximately 19% of the total annual rent of the Company's property portfolio.  The loss of rent and increased expenses related to this property decreased the Company's cash flow.  Consequently, beginning with the third quarter of 2016, the Company reduced its regular quarterly cash distribution rate from $0.1313 per Unit to $0.0946 per Unit.

On September 21, 2017, the Company entered into a lease agreement with a primary term of 10 years with Biomat USA, Inc. ("Biomat"(“Biomat”) as a replacement tenant for 28% of the square footage of the property. The tenant will operateoperates a Biomat USA Plasma Center in the space. The Company'sCompany’s 40% share of annual rent, is $37,071 and is expected to commencewhich commenced on June 18, 2018.2018, is $37,071. Biomat has agreed to pay for the costs to divide the building into two separate spaces, the costs of tenant improvements to remodel the Biomat space and 28% of the cost to replace the roof.

On August 27, 2019, the Company entered into a lease agreement with a primary term of 10 years with BigTime Fun Center, LLC as a replacement tenant for 57% of the square footage of the property. The tenant was to operate an indoor sports entertainment center in the space. The Company’s 40% share of annual rent, which was to commence on February 23, 2020, is $78,000. As part of the agreement, the Company willwas to pay a tenant improvement allowance of $64,000 when certain conditions were met by the tenant. Due to ongoing difficulties relating to the COVID-19 pandemic, the Company was negotiating a rent commencement date of April 1, 2021. As a part of the negotiations, the tenant improvement allowance was to be responsiblereplaced with a ten month rent abatement starting April 1, 2021. Additionally, this agreement would forebear rent and additional charges for payingthe period from February 23, 2020 to March 31, 2021. In September 2019, the Company paid $32,760 to a real estate broker for its 40% share of the remaining cost to replace the roof, which is expected to be approximately $113,000.  At December 31, 2017, the Company accrued its 40% share of lease commissionscommission due to real estate brokers totaling $54,293 that were owed as part of the lease transaction. This amount was capitalized and willwas to be amortized over the term of the lease. On January 22, 2021 the owner of Big Time Fun Center, LLC informed the Company that it did not intend to open the Wichita property. As a result of the tenant informing the Company of their intention not to open, the full amount of the lease commission was amortized in the fourth quarter of 2020.

The Company is continuingowned a 55% interest in an Advance Auto Parts store in Middletown, Ohio. The remaining interest in the property was owned by an affiliate of the Company. On July 31, 2019, the lease term ended, and the tenant returned possession of the property to pursue additional tenantsthe owners. While the property was vacant, the Company was responsible for its 55% share of real estate taxes and other costs associated with maintaining the remaining space.property. The owners listed the property for sale or lease with a real estate broker in the Middletown area, and the property was sold to an unaffiliated third party on June 29, 2021. The annual rent from this property represented approximately 11% of the total annual rent of the Company’s property portfolio. The loss of rent and increased expenses related to this property decreased the Company’s cash flow. However, at this time, the Company does not anticipate the need to further reduce its regular quarterly cash distribution rate.

For the years ended December 31, 20172022 and 2016,2021, the Company recognized interest income of $1,568$9,605 and $2,247,$1,248, respectively.

Management believes inflation has not significantly affected income from operations. Leases may contain rent increases, based on the increase in the Consumer Price Index over a specified period, which will result in an increase in rental income over the term of the leases. Inflation also may cause the real estate to appreciate in value. However, inflation and changing prices may have an adverse impact on the operating margins of the properties'properties’ tenants, which could impair their ability to pay rent and subsequently reduce the Net Cash Flow available for distributions.

During the year ended December 31, 2017,2022, the Company'sCompany’s cash balancesbalance decreased $112,243$1,422,689 as a result of cash paid for a tenant improvement allowance, and distributions paid to the Members and cash used to repurchase Unitsmembers in excess of cash generated from operating activities. During the year ended December 31, 2016,2021, the Company'sCompany’s cash balances decreased $1,727,592balance increased $1,435,688 as a result of cash used to purchase property andgenerated from operating activities in excess of distributions paid to the Members and cash used to repurchase Units in excess of cash generated from operating activities.Members.

Net cash provided by operating activities decreased from $760,869$428,284 in 20162021 to $689,502$200,964 in 20172022 as a result of a decrease in total rental andincome in 2022, which was partially offset by an increase in interest income in 2017, an increase2022, a decrease in LLC administration and property managementadministrative expenses, in 2017 and net timing differences in the collection of payments from the tenants and the payment of expenses.  During 2016, cash from operations was reduced by $55,479 of acquisition expenses related to the purchase of real estate.  Pursuant to accounting guidance, these expenses were reflected as operating cash outflows.  However, pursuant to the Company's Operating Agreement, acquisition expenses were funded with proceeds from property sales.

The major components of the Company'sCompany’s cash flow from investing activities are investments in real estate and proceeds from the sale of real estate. During the years ended December 31, 20172022 and 2016,December 31, 2021, the Company expended $84,293generated cash flow from the sale of real estate of $5,317,737 and $1,535,714, respectively, to invest in real properties as$1,696,854, respectively.

In April 2021, the Company reinvested cash generated from property sales completedentered into an agreement to sell its 55% interest in 2015.

In November 2021, the Company entered into an agreement to sell its Dollar Tree store in West Point, Mississippi for $1,535,714.  The property is leased to Dollar Tree Stores, Inc. underan unrelated third party. On December 10, 2021, the sale closed with the Company receiving net proceeds of $1,597,785, which resulted in a lease agreement with a remaining primary termgain of 9.7 years (as$338,872. At the time of the date of purchase)sale, the cost and annual rent of $107,500.related accumulated depreciation and amortization was $1,535,714 and $276,801, respectively.

In March 31, 2017, the lease term expired for the Starbucks store in Bluffton, Indiana.  Effective April 1, 2017,2022, the Company entered into an agreement to sell its Zales store in Enid, Oklahoma to an unrelated third party. On April 29, 2022, the sale closed with the Company receiving net proceeds of $1,607,072, which resulted in a leasegain of $448,851. At the time of the sale, the cost and related accumulated depreciation and amortization was $1,600,000 and $441,779, respectively.

In April 2022, the Company entered into an agreement with a primarythe tenant of the Fresenius Medical Care in Chicago, Illinois to extend the lease term of sixfive years with The Cellular Connection LLC, a cell phone retailer that was subleasing the property from Starbucks Corporation.  The tenant is scheduled to pay annual rent of $39,156 during the base lease term.end on April 30, 2032. As part of the lease transaction,agreement, the annual rent will continue to increase annually at 2.5%.

On May 11, 2022, the Company paidsold its 46% joint-venture interest in the Best Buy property in Eau Claire, Wisconsin to AEI Income & Growth Fund XXI LP, an affiliate of the Company that owns an interest in the property. The sale price of the property interest was based upon the property’s fair market value as determined by an independent, third-party, commercial property appraiser. The Company received net proceeds of $3,710,665, which resulted in a tenant improvement allowancegain of $30,000 that$1,686,377. At the time of the sale, the cost and related accumulated depreciation and amortization was capitalized$3,031,012 and $1,006,724, respectively.

In January 2023, the Company entered into an agreement to sell its Fresenius Medical Care in Chicago, Illinois to an unrelated third party. The sale is subject to contingencies and may not be completed. The properry was classified as real estate held for sale at December 31, 2022. If the sale is completed, the Company expects to receive net proceeds of approximately $1,687,000, which will be depreciated.result in a net gain of approximately $717,000.

The Company's primary use of cash flow, other than investment in real estate, is distribution payments to Members and cash used to repurchase Units. The Company declares its regular quarterly distributions before the end of each quarter and pays the distribution in the first week after the end of each quarter. The Company attempts to maintain a stable distribution rate from quarter to quarter. The Company may repurchase tendered Units on April 1st1^st and October 1st1^st of each year subject to limitations.

For the years ended December 31, 20172022 and 2016,2021, the Company declared distributions of $679,998$4,839,063 and $809,870,$2,393,295, respectively. Pursuant to the Operating Agreement, distributions of Net Cash Flow were allocated 97% to the Limited Members and 3% to the Managing Members. Distributions of Net Proceeds of Sale were allocated 99% to the Limited Members and 1% to the Managing Members. The Limited Members received distributions of $660,002$4,784,000 and $787,998$2,361,900 and the Managing Members received distributions of $19,996$54,263 and $21,872$31,395 for the years ended December 31, 2022 and 2021, respectively.

As part of the distributions discussed above, the Company distributed net sale proceeds (from property sales completedof $4,545,455 and $2,020,202 in 2015) of $20,2022022 and $121,212 in 2017 and 2016,2021, respectively. The Limited Members received distributions of $20,000$4,500,000 and $120,000$2,000,000 and the Managing Members received distributions of $202$45,455 and $1,212 for the years, respectively.$20,202. The Limited Members'Members’ distributions represented $0.01$2.69 and $0.07$1.19 per Unit for the years, respectively.year.

The Company may repurchase Units from Limited Members who have tendered their Units to the Company. Such Units may be acquired at a discount. The Company will not be obligated to purchase in any year more than 2% of the total number of Units outstanding on January 1 of such year. In no event shall the Company be obligated to purchase Units if, in the sole discretion of the Managing Member, such purchase would impair the capital or operation of the Company.

The continuing rent payments from the properties, together with cash generated from property sales, should be adequate to fund continuing distributions and meet other Company obligations on both a short-term and long-term basis.

As of December 31, 20172022 and 2016,2021, the Company had no material off-balance sheet arrangements that had or are reasonably likely to have current or future effects on its financial condition, results of operations, liquidity or capital resources.

Not required for a smaller reporting company.

To the Members:

AEI Income & Growth Fund 26 LLC

St. Paul, Minnesota

We have audited the accompanying balance sheets of AEI Income & Growth Fund 26 LLC (a Delaware limited liability company) (the “Company”) as of December 31, 20172022 and 2016,2021, and the related statements of income, members'operations, changes in members’ equity, (deficit), and cash flows for each of the years in the two-year period ended December 31, 2017,2022, and the related notes (collectively referred to as the financial statements). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Company as of December 31, 20172022 and 2016,2021, and the results of its operations and its cash flows for each of the years in the two-year period ended December 31, 2017,2022, in conformity with accounting principles generally accepted in the United States of America.

These financial statements are the responsibility of the Company'sCompany’s management. Our responsibility is to express an opinion on the Company'sCompany’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Company is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. As part of our audits, we are required to obtain an understanding of internal control over financial reporting, but not for the purpose of expressing an opinion on the effectiveness of the Company'sCompany’s internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

AEI Income & Growth Fund 26 LLC ("Company"(the “Company”), a Limited Liability Company, was formed on March 14, 2005 to acquire and lease commercial properties to operating tenants. The Company'sCompany’s operations are managed by AEI Fund Management XXI, Inc. ("AFM"(“AFM”), the Managing Member. Robert P. Johnson, the Presidentprevious Chief Executive Officer and sole director of AFM, servesserved as the Special Managing Member.Member until his withdrawal date effective March 31, 2020. AFM is a wholly owned subsidiary of AEI Capital Corporation of which Mr.the Robert P. Johnson is theTrust and Patricia Johnson own a majority shareholder.interest. AEI Fund Management, Inc. ("AEI"(“AEI”), an affiliate of AFM, performs the administrative and operating functions for the Company.

The terms of the offering called for a subscription price of $10 per LLC Unit, payable on acceptance of the offer. The Company commenced operations on April 3, 2006 when minimum subscriptions of 150,000 LLC Units ($1,500,000) were accepted. The offering terminated October 19, 2007, when the extended offering period expired.ended. The Company received subscriptions for 1,832,736 Units. Under the terms of the Operating Agreement, the Limited Members and Managing Members contributed funds of $18,327,360 and $1,000, respectively. The Company shall continue until December 31, 2055, unless dissolved, terminated and liquidated prior to that date.

During operations, any Net Cash Flow, as defined, which the Managing Members determine to distribute will be distributed 97% to the Limited Members and 3% to the Managing Members. Distributions to Limited Members will be made pro rata by Units.

Any Net Proceeds of Sale, as defined, from the sale or financing of properties which the Managing Members determine to distribute will, after provisions for debts and reserves, be paid in the following manner: (i) first, 99% to the Limited Members and 1% to the Managing Members until the Limited Members receive an amount equal to: (a) their Adjusted Capital Contribution plus (b) an amount equal to 6.5% of their Adjusted Capital Contribution per annum, cumulative but not compounded, to the extent not previously distributed from Net Cash Flow; (ii) any remaining balance will be distributed 90% to the Limited Members and 10% to the Managing Members. Distributions to the Limited Members will be made pro rata by Units.

For tax purposes, profits from operations, other than profits attributable to the sale, exchange, financing, refinancing or other disposition of property, will be allocated 97% to the Limited Members and 3% to the Managing Members. Net losses from operations will be allocated 99% to the Limited Members and 1% to the Managing Members.

For tax purposes, profits arising from the sale, financing, or other disposition of property will be allocated in accordance with the Operating Agreement as follows: (i) first, to those Members with deficit balances in their capital accounts in an amount equal to the sum of such deficit balances; (ii) second, 99% to the Limited Members and 1% to the Managing Members until the aggregate balance in the Limited Members'Members’ capital accounts equals the sum of the Limited Members'Members’ Adjusted Capital Contributions plus an amount equal to 6.5% of their Adjusted Capital Contributions per annum, cumulative but not compounded, to the extent not previously allocated; (iii) third, the balance of any remaining gain will then be allocated 90% to the Limited Members and 10% to the Managing Members. Losses will be allocated 99% to the Limited Members and 1% to the Managing Members.

The Managing Members are not required to currently fund a deficit capital balance. Upon liquidation of the Company or withdrawal by a Managing Member, the Managing Members will contribute to the Company an amount equal to the lesser of the deficit balances in their capital accounts or 1.01% of the total capital contributions of the Limited Members over the amount previously contributed by the Managing Members.

The accounts of the Company are maintained on the accrual basis of accounting for both federal income tax purposes and financial reporting purposes.

Management uses estimates and assumptions in preparing these financial statements in accordance with United States Generally Accepted Accounting Principles (US GAAP). Those estimates and assumptions may affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities, and the reported revenues and expenses. Actual results could differ from those estimates.estimates, and the difference could be material. Significant items, subject to such estimates and assumptions, include the carrying value of real estate held for investment, real estate held for sale and relatedthe allocation of purchase price of real estate assets and intangible assets.

The Company regularly assesses whether market events and conditions indicate that it is reasonably possible to recover the carrying amounts of its investments in real estate from future operations and sales. A change in those market events and conditions could have a material effect on the carrying amount of its real estate.

The Company'sCompany’s cash is deposited in one financial institution and at times during the year it may exceed FDIC insurance limits.

Credit terms are extended to tenants in the normal course of business. The Company performs ongoing credit evaluations of its customers'customers’ financial condition and, generally, requires no collateral.

The income or loss of the Company for federal income tax reporting purposes is includable in the income tax returns of the Members. In general, no recognition has been given to income taxes in the accompanying financial statements.

The tax return and the amount of distributable Company income or loss are subject to examination by federal and state taxing authorities. If such an examination results in changes to distributable Company income or loss, the taxable income of the members would be adjusted accordingly. Primarily due to its tax status as a partnership, the Company has no significant tax uncertainties that require recognition or disclosure. The Company is no longer subject to U.S. federal income tax examinations for tax years before 2014,2019, and with few exceptions, is no longer subject to state tax examinations for tax years before 2014.2019.

The Company'sCompany’s real estate is leased under net leases, classified as operating leases. The leases provide for base annual rental payments payable in monthly installments. The Company recognizes rental income according to the terms of the individual leases. For leases that contain stated rental increases, the increases are recognized in the year in which they are effective. Contingent rental payments are recognized when the contingencies on which the payments are based are satisfied and the rental payments become due under the terms of the leases.

Upon acquisition of real properties, the Company records them in the financial statements at cost. The purchase price is allocated to tangible assets, consisting of land and building, and to identified intangible assets and liabilities, which may include the value of above market and below market leases and the value of in-place leases. The allocation of the purchase price is based upon the relative fair value of each component of the property. Although independent appraisals may be used to assist in the determination of fair value, in many cases these values will be based upon management'smanagement’s assessment of each property, the selling prices of comparable properties and the discounted value of cash flows from the asset.

The fair values of above market and below market in-place leases will be recorded based on the present value (using an interest rate which reflects the risks associated with the leases acquired) of the difference between (i) the contractual amounts to be paid pursuant to the in-place leases and (ii) an estimate of fair market lease rates for the corresponding in-place leases measured over a period equal to the non-cancelable term of the lease including any bargain renewal periods. The above market and below market lease values will be capitalized as intangible lease assets or liabilities. Above market lease values will be amortized as an adjustment of rental income over the remaining term of the respective leases. Below market lease values will be amortized as an adjustment of rental income over the remaining term of the respective leases, including any bargain renewal periods. If a lease were to be terminated prior to its stated expiration, all unamortized amounts of above market and below market in-place lease values relating to that lease would be recorded as an adjustment to rental income.

  

The fair values of in-place leases will include estimated direct costs associated with obtaining a new tenant, and opportunity costs associated with lost rentals which are avoided by acquiring an in-place lease. Direct costs associated with obtaining a new tenant may include commissions, tenant improvements, and other direct costs and are estimated, in part, by management'smanagement’s consideration of current market costs to execute a similar lease. These direct costs will be included in intangible lease assets on the balance sheet and will be amortized to expense over the remaining term of the respective leases. The value of opportunity costs will be calculated using the contractual amounts to be paid pursuant to the in-place leases over a market absorption period for a similar lease. These intangibles will be included in intangible lease assets on the balance sheet and will be amortized to expense over the remaining term of the respective leases. If a lease were to be terminated prior to its stated expiration, all unamortized amounts of in-place lease assets relating to that lease would be expensed.

The Company tests real estate for recoverability when events or changes in circumstances indicate that the carrying value may not be recoverable. For properties the Company will hold and operate, it compares the carrying amount of the property to the estimated probability-weighted future undiscounted cash flows expected to result from the property and its eventual disposition. If the sum of the expected future cash flows is less than the carrying amount of the property, the Company recognizes an impairment loss byequal to the amount by which the carrying amount of the property exceeds the fair value of the property. For properties held for sale, the Company determines whether impairment has occurred by comparing the property'sproperty’s estimated fair value less cost to sell to its current carrying value. If the carrying value is greater than the net realizable value, an impairment loss is recorded to reduce the carrying value of the property to its net realizable value.

For financial reporting purposes, the buildings owned by the Company are depreciated using the straight-line method over an estimated useful life of 25 years. Intangible lease assets are amortized using the straight-line method for financial reporting purposes based on the remaining life of the lease.

The disposition of a property or classification of a property as Real Estate Held for Sale by the Company does not represent a strategic shift that will have a major effect on the Company'sCompany’s operations and financial results. Therefore, the results from operating and selling the property are included in continuing operations.

The Company accounts for properties owned as tenants-in-common with affiliated entities and/or unrelated third parties using the proportionate consolidation method. Each tenant-in-common owns a separate, undivided interest in the properties. Any tenant-in-common that holds more than a 50% interest does not control decisions over the other tenant-in-common interests. The financial statements reflect only this Company'sCompany’s percentage share of the properties'properties’ land, building, liabilities, intangible assets, revenues and expenses.

The Company'sCompany’s properties are subject to environmental laws and regulations adopted by various governmental entities in the jurisdiction in which the properties are located. These laws could require the Company to investigate and remediate the effects of the release or disposal of hazardous materials at these locations if found. For each property, an environmental assessment is completed prior to acquisition. In addition, the lease agreements typically strictly prohibit the production, handling, or storage of hazardous materials (except where incidental to the tenant'stenant’s business such as use of cleaning supplies) in violation of applicable law to restrict environmental and other damage. Environmental liabilities are recorded when it is determined the liability is probable and the costs can reasonably be estimated. There were no environmental issues noted or liabilities recorded at December 31, 20172022 and 2016.2021.

Fair value, as defined by US GAAP, is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date in the principal or most advantageous market. US GAAP establishes a hierarchy in determining the fair value of an asset or liability. The fair value hierarchy has three levels of inputs, both observable and unobservable. US GAAP requires the utilization of the lowest possible level of input to determine fair value. Level 1 inputs include quoted market prices in an active market for identical assets or liabilities. Level 2 inputs are market data, other than Level 1 inputs, that are observable either directly or indirectly. Level 2 inputs include quoted market prices for similar assets or liabilities, quoted market prices in an inactive market, and other observable information that can be corroborated by market data. Level 3 inputs are unobservable and corroborated by little or no market data.

At December 31, 20172022 and 2016,2021, the Company had no financial assets or liabilities measured at fair value on a recurring basis or nonrecurring basis.basis that would require disclosure.

Income per LLC Unit is calculated based on the weighted average number of LLC Units outstanding during each period presented. Diluted income per LLC Unit considers the effect of any potentially dilutive Unit equivalents, of which the Company had none for each of the years ended December 31, 20172022 and 2016.2021.

The Company invests in single tenant commercial properties throughout the United States that are net leased to tenants in various industries. Because these net leased properties have similar economic characteristics, the Company evaluates operating performance on an overall portfolio basis. Therefore, the Company'sCompany’s properties are classified as one reportable segment.

The Company owns the percentage interest shown below in the following properties as tenants-in-common with the affiliated entities listed:  property in Wichita, Kansas (40% – AEI Income & Growth Fund 25 LLC); Advance Auto Parts store (55% --– AEI Income & Growth Fund 24 LLC); Applebee's restaurant in Crawfordsville, Indiana (40% --– AEI Income & Growth Fund XXII Limited Partnership); Best Buy store (30% – AEI Income & Growth Fund XXI Limited Partnership and AEI Income & Growth Fund 23 LLC); Dick's Sporting Goods store in Fredericksburg, Virginia (27% – AEI Income & Growth Fund 23 LLC, AEI Income & Growth Fund 24 LLC and AEI Income & Growth Fund 25 LLC); and Fresenius Medical Center (54% – AEI Income & Growth Fund 27 LLC).

AEI received the following reimbursements for costs and expenses from the Company for the years ended December 31:

The payable to AEI Fund Management, Inc. represents the balance due for the services described in 3a, b, c and c.d. This balance is non-interest bearing and unsecured and is to be paid in the normal course of business.

The Company leases its properties to tenants under net leases, classified as operating leases. Under a net lease, the tenant is responsible for real estate taxes, insurance, maintenance, repairs and operating expenses for the property. For some leases, the Company is responsible for repairs to the structural components of the building, the roof and the parking lot. At the time the properties were acquired, the remaining primary lease terms varied from 10 to 20 years. The lease for the Best Buy store was extended to expire on January 19, 2023.  The leases provide the tenants with three to four five-year renewal options subject to the same terms and conditions as the primary term.

The Company's properties are commercial, single-tenant buildings. The building in Wichita, Kansas was constructed in 1996, renovated in 2001 and acquired in 2006. The Advance Auto PartsCellualar Connection store was constructed in 2004 and acquired in 2006.  The Applebee's restaurant in Crawfordsville, Indiana was constructed in 1996 and acquired in 2006.  The Starbucks restaurant was constructed and acquired in 2007.  The Best Buy store was constructed in 1990, renovated in 1997 and acquired in 2008.  The land for the Dick's Sporting Goods store was acquired in 2007 and construction of the store was completed in 2008. The Fresenius Medical Center was constructed in 2012 and acquired in 2014.  The Zales store was constructed in 1983, renovated in 2014 and acquired in 2015.  The Dollar Tree store was constructed in 2015 and acquired in 2016. There have been no costs capitalized as improvements subsequent to the acquisitions, except for $30,000 of tenant improvements related to the Cellular Connection store.

The cost of the propertiesproperty not held for sale and related accumulated depreciation at December 31, 2017 are2022 is as follows:

For the years ended December 31, 20172022 and 2016,2021, the Company recognized depreciation expense of $396,640$135,503 and $390,890,$281,594, respectively.

The following schedule presents the cost and related accumulated amortization of acquired lease intangibles not held for sale at December 31:

For the years ended December 31, 20172022 and 2016,2021, the value of in-place lease intangibles amortized to expense was $56,680$28,482 and $52,627,$79,358, the decrease to rental income for above-market leases was $7,576$1,894 and $7,576, and the increase to rental income for below-market leases was $29,584$0 and $24,652,$27,119, respectively.  For the year ended December 31, 2018, the estimated amortization expense is $59,621.  Beginning with the year ended December 31, 2019, the estimated amortization expense is $62,108 for each of the next four years.  For lease intangibles not held for sale as of December 31, 2017, the estimated decrease to rental income for above-market leases is $7,576 and the estimated increase to rental income for below-market leases is $29,584 for each of the next five succeeding years.

The Company ownsowned a 40% interest in thea former Sports Authority store in Wichita, Kansas. On March 2, 2016, the tenant, TSA Stores, Inc., and its parent company, The Sports Authority, Inc., the guarantor of the lease, filed for Chapter 11 bankruptcy reorganization. In June 2016, the tenant filed a motion with the bankruptcy court to reject the lease for this store effective June 30, 2016, at which time the tenant returned possession of the property to the owners. As of December 31, 2017,2020, the tenant owed $19,366 of past due rent, which was not accruedrecorded for financial reporting purposes. On March 23, 2021, a motion to dismiss the bankruptcy case was issued by a federal judge to The Sports Authority, Inc., the Company will therefore not be receiving any of the past due rent. The owners listed the property for lease with a real estate broker in the Wichita area. While the property iswas vacant, the Company iswas responsible for its 40% share of real estate taxes and other costs associated with maintaining the property.  The annual rent from this property represented approximately 19% of the total annual rent of the Company's property portfolio.  The loss of rent and increased expenses related to this property decreased the Company's cash flow.  Consequently, beginning with the third quarter of 2016, the Company reduced its regular quarterly cash distribution rate from $0.1313 per Unit to $0.0946 per Unit.

On September 21, 2017, the Company entered into a lease agreement with a primary term of 10 years with Biomat USA, Inc. ("Biomat"(“Biomat”) as a replacement tenant for 28% of the square footage of the property. The tenant will operateoperates a Biomat USA Plasma Center in the space. The Company'sCompany’s 40% share of annual rent, is $37,071 and is expected to commencewhich commenced on June 18, 2018.2018, is $37,071. Biomat has agreed to pay for the costs to divide the building into two separate spaces, the costs of tenant improvements to remodel the Biomat space and 28% of the cost to replace the roof.  The Company will be responsible for paying its 40% share of the remaining cost to replace the roof, which is expected to be approximately $113,000.  At December

On March 31, 2017, the lease term expired for the Starbucks store in Bluffton, Indiana.  Effective April 1, 2017,August 27, 2019, the Company entered into a lease agreement with a primary term of six10 years with The Cellular ConnectionBigTime Fun Center, LLC as a cell phone retailer that was subleasingreplacement tenant for 57% of the property from Starbucks Corporation.square footage of the property. The tenant is scheduled to paywill operate an indoor sports entertainment center in the space. The Company’s 40% share of annual rent, of $39,156 during the base lease term.which was to commence on February 23, 2020, is $78,000. As part of the lease transaction,agreement, the Company paidwas to pay a tenant improvement allowance of $30,000 that$64,000 when certain conditions were met by the tenant. Due to ongoing difficulties relating to the COVID-19 pandemic, the Company was negotiating a rent commencement date of April 1, 2021. As a part of the negotiations, the tenant improvement allowance was to be replaced with a ten month rent abatement starting April 1, 2021. Additionally, this agreement would forebear rent and additional charges for the period from February 23, 2020 to March 31, 2021. In September 2019, the Company paid $32,760 to a real estate broker for its 40% share of the lease commission due as part of the lease transaction. This amount was capitalized and was to be amortized over the term of the lease. On January 22, 2021 the owner of Big Time Fun Center, LLC informed the Company that it did not intend to open the Wichita property. As a result of the tenant informing the Company of their intention not to open, the full amount of the lease commission was amortized in the fourth quarter of 2020.

In April 2022, the Company entered into an agreement with the tenant of the Fresenius Medical Care in Chicago, Illinois to extend the lease term five years to end on April 30, 2032. As part of the agreement, the annual rent will continue to increase annually at 2.5%.

In January 2023, the Company entered into an agreement to sell its Fresenius Medical Care in Chicago, Illinois to an unrelated third party. The sale is subject to contingencies and may not be depreciated.completed. The property was classified as real estate held for sale at December 31, 2022. If the sale is completed, the Company expects to receive net proceeds of approximately $1,687,000, which will result in a net gain of approximately $717,000.

For properties owned as of December 31, 2017,2022, the minimum future rent payments required by the leases are as follows:

There were no contingent rents recognized in 20172022 and 2016.2021.

The following schedule presents rental income from individual tenants, or affiliated groups of tenants, who each contributed more than ten percent of the Company's total rental income for the years ended December 31:

For the years ended December 31, 20172022 and 2016,2021, the Company declared distributions of $679,998$4,839,063 and $809,870, respectively.$2,393,295. The Limited Members received distributions of $660,002$4,784,000 and $787,998$2,361,900 and the Managing Members received distributions of $19,996$54,263 and $21,872$31,395 for the years ended December 31, 2022 and 2021, respectively. The Limited Members' distributions represented $0.38$2.86 and $0.45$1.39 per LLC Unit outstanding using 1,739,5061,672,152 and 1,746,7151,693,334 weighted average Units in 2017 and 2016, respectively.both years. The distributions represented $0.11$1.22 and $0.13$.18 per Unit of Net Income and $0.27$1.64 and $0.32$1.21 per Unit of return of contributed capital in 20172022 and 2016,2021, respectively.

As part of the distributions discussed above, the Company distributed net sale proceeds (from property sales completedof $4,545,455 and $2,020,202 in 2015) of $20,2022022 and $121,212 in 2017 and 2016,2021, respectively. The Limited Members received distributions of $20,000$4,500,000 and $120,000$2,000,000 and the Managing Members received distributions of $202$45,455 and $1,212 for the years, respectively.$20,202. The Limited Members'Members’ distributions represented $0.01$2.69 and $0.07$1.19 per Unit for the years, respectively.year.

The Company may repurchase Units from Limited Members who have tendered their Units to the Company. Such Units may be acquired at a discount. The Company will not be obligated to purchase in any year more than 2% of the total number of Units outstanding on January 1 of such year. In no event shall the Company be obligated to purchase Units if, in the sole discretion of the Managing Member, such purchase would impair the capital or operation of the Company.

The following is a reconciliation of net income for financial reporting purposes to income reported for federal income tax purposes for the years ended December 31:

The following is a reconciliation of Members'Members’ Equity for financial reporting purposes to Members'Members’ Equity reported for federal income tax purposes for the years ended December 31:

None.

(a)  Disclosure Controls and Procedures.

Under the supervision and with the participation of management, including its President and Chief Financial Officer, the Managing Member of the Company evaluated the effectiveness of the design and operation of our disclosure controls and procedures (as defined in Rule 13a-15(e) under the Securities Exchange Act of 1934 (the "Exchange Act"“Exchange Act”)). Based upon that evaluation, the President and Chief Financial Officer of the Managing Member concluded that, as of the end of the period covered by this report, our disclosure controls and procedures were effective in ensuring that information required to be disclosed by us in the reports that we file or submit under the Exchange Act is recorded, processed, summarized and reported within the time periods specified in applicable rules and forms and that such information is accumulated and communicated to management, including the President and Chief Financial Officer of the Managing Member, in a manner that allows timely decisions regarding required disclosure.

(b)  Internal Control Over Financial Reporting.

(i) Management'sManagement’s Report on Internal Control Over Financial Reporting. The Managing Member, through its management, is responsible for establishing and maintaining adequate internal control over our financial reporting, as defined in Rule 13a-15(f) under the Exchange Act, and for performing an assessment of the effectiveness of our internal control over financial reporting as of December 31, 2017.2022. Internal control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with US GAAP. Our system of internal control over financial reporting includes those policies and procedures that (i) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the Company; (ii) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with US GAAP, and that receipts and expenditures of the Company are being made only in accordance with authorizations of management of the Managing Member; and (iii) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the Company's assets that could have a material effect on the financial statements.

Management of the Managing Member performed an assessment of the effectiveness of our internal control over financial reporting as of December 31, 20172022 based upon criteria in Internal Control-Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission ("COSO"(“COSO”). Based on our assessment, management of the Managing Member determined that our internal control over financial reporting was effective as of December 31, 20172022 based on the criteria in Internal Control-Integrated Framework (2013) issued by the COSO.

This annual report does not include an attestation report of our registered public accounting firm regarding internal control over financial reporting. Management'sManagement’s report was not subject to attestation by our registered public accounting firm pursuant to rules of the Securities and Exchange Commission that permit us to provide only management'smanagement’s report in this annual report.

(ii)  Changes in Internal Control Over Financial Reporting. During the most recent period covered by this report, there has been no change in our internal control over financial reporting (as defined in Rule 13a-15(f) under the Exchange Act) that has materially affected, or is reasonably likely to materially affect, our internal control over financial reporting.

None.

The registrant is a limited liability company and has no officers, directors, or direct employees. The Managing Members manage and control the Company'sCompany’s affairs and have general responsibility and the ultimate authority in all matters affecting the Company'sCompany’s business. The Managing Members are AEI Fund Management XXI, Inc. ("AFM"(“AFM”), the Managing Member, and Robert P. Johnson, Chief Executive Officer President and sole director of AFM, the Special Managing Member.Member until his withdrawal date effective March 31, 2020. AFM is a wholly owned subsidiary of AEI Capital Corporation of which Mr.the Robert P. Johnson is theTrust and Patricia Johnson own a majority shareholder.interest. AFM has only one senior financial executive, its Chief Financial Officer. The Chief Financial Officer reports directly to Mr. JohnsonMarni J. Nygard, President of AFM, and Kevin Steele, Chief Operating Officer of AFM, and is accountable for his actions to Mr. Johnson.both. Although Mr. Johnson and AFM requirerequires that all of theirits personnel, including the Chief Financial Officer, engage in honest and ethical conduct, ensure full, fair, accurate, timely, and understandable disclosure, comply with all applicable governmental laws, rules and regulations, and report to Ms. Nygard and Mr. JohnsonSteele any deviation from these principles, because the organization is composed of only approximately 4540 individuals, because the management of a company by an entity that has different interests in distributions and income than investors involves numerous conflicts of interest that must be resolved on a daily basis, and because the ultimate decision makermakers in all instances is Ms. Nygard and Mr. Johnson,Steele, AFM has not adopted a formal code of conduct. Instead, the materials pursuant to which investors purchase Units disclose these conflicts of interest in detail and Mr. Johnson,Ms. Nygard, as the CEO and sole directorPresident of AFM, resolvesand Mr. Steele, as Chief Operating Officer of AFM, resolve conflicts to the best of histheir ability, consistent with histheir fiduciary obligations to AFM and the fiduciary obligations of AFM to the Company. The director and officers of AFM are as follows:

Robert P. Johnson, age 73, isdeceased, was Chief Executive Officer President and sole director and hashad held these positions since the formation of AFM in August 1994, and hashad been elected to continue in these positions until December 2018.2021. He was President of AFM from August 1994 to July 2019. From 1970 to the present,his date of death, May 22, 2021, he hashad been employed exclusively in the investment industry, specializing in limited partnership investments. In that capacity, he has beenwas involved in the development, analysis, marketing and management of public and private investment programs investing in net lease properties as well as public and private investment programs investing in energy development. Since 1971, Mr. Johnson has beenwas the president, a director and a registered principal of AEI Securities, Inc., which is registered with the SEC as a securities broker-dealer, is a member of the Financial Industry Regulatory Authority (FINRA) and is a member of the Security Investors Protection Corporation (SIPC). Mr. Johnson has been president,was Chief Executive Officer, a director and the principal shareholder of AEI Fund Management, Inc., a real estate management company founded by him, since 1978. Mr. Johnson is currentlywas a general partner or principal of the general partner in nineeight limited partnerships up until his date of death.

Marni J. Nygard, Esq., age 48, is President of AFM and has held this position since July 11, 2019, when she assumed the role from Mr. Johnson. She has been elected to continue in this position until December 2023. Ms. Nygard continues as Chief Investment Officer for AEI and is a managing memberGeneral Securities Principal of AEI Securities, Inc. She joined AEI in five LLCs.2005 and is responsible for the implementation of AEI’s acquisition investment objectives and strategies. As President, she drives corporate initiatives for the development, analysis, marketing and management of AEI public and private Funds investing in net leased commercial properties. Prior to joining AEI, she was employed as an attorney at CI Title in St. Paul, Minnesota in the residential and commercial property departments.

Kevin S. Steele, age 58,59, is Chief Operating Officer and has held this position since August 1, 2020. He joined AEI in 2012 and is responsible for AEI’s net lease commercial property acquisition strategy and sourcing through the development of business relationships with preferred corporate developers, tenant corporations, and net lease property owners. Kevin is responsible for leading the execution of the organizational strategy established by the leadership team.  Kevin has more than 30 years of sales, marketing, and corporate business operations experience. Prior to joining AEI, he was employed with Sheraton Hotels and Stan Johnson Company as well as the owner operator of a Midwest grocery company.

Keith E. Petersen, CPA (inactive), age 48, is Chief Financial Officer, Treasurer and Secretary of AFM and has held these positions since January 22, 2003 andFebruary 1, 2020. He has been elected to continue in these positions until December 2018.2023. Mr. KeenePetersen has been employed by AEI Fund Management, Inc. and affiliated entities since 1986.November 2016. Prior to being elected to the positions above, he was Controller of the various entities. From 1982Prior to 1986, Mr. Keenejoining AEI, Keith was employed with KPMG Certified Public Accountants, firstPine River Capital Management as the Vice President of Tax Compliance and with Deloitte, an auditorinternational accounting and laterauditing firm as a tax manager.  Mr. Keene is responsible for all accounting functions of AFM and the registrant.Senior Tax Manager.

All of the duties that might be assigned to an audit committee are assigned to Mr. Johnson.  Mr.Patricia Johnson, the wife of the deceased. Mrs. Johnson is not an audit committee financial expert, as defined.  As an officer and majority owner, through a parent company, of AFM, and as the Special Managing Member, Mr. Johnson is not a "disinterested director" and may be subject to a number of conflicts of interests in his capacity as sole director of AFM.

Before the independent auditors are engaged, Mr.Mrs. Johnson, as the sole director of AFM, approves all audit-related fees, and all permissible nonaudit fees, for services of our auditors.

Under federal securities laws, the directors and officers of the Managing Member of the Company, and any beneficial owner of more than 10% of a class of equity securities of the Company, are required to report their ownership of the Company's equity securities and any changes in such ownership to the Securities and Exchange Commission (the "Commission"). Specific due dates for these reports have been established by the Commission, and the Company is required to disclose in this Annual Report on 10-K any delinquent filing of such reports and any failure to file such reports during the fiscal year ended December 31, 2017.2022. Based upon information provided by officers and directors of the Managing Member, all officers, directors and 10% owners filed all reports on a timely basis in the 20172022 fiscal year.

The Managing Member and affiliates are reimbursed at cost for all services performed on behalf of the registrant and for all third party expenses paid on behalf of the registrant. The cost for services performed on behalf of the registrant is based on actual time spent performing such services plus an overhead burden. These services include organizing the registrant and arranging for the offer and sale of Units, reviewing properties for acquisition and rendering administrative, property management and property sales services. The amount and nature of such payments are detailed in Item 13 of this annual report on Form 10-K.

The following table sets forth information pertaining to the ownership of the Units by each person known by the Company to beneficially own 5% or more of the Units, by each Managing Member, and by each officer or director of the Managing Member as of February 28, 2018:2023:

The Managing Members know of no holders of more than 5% of the outstanding Units.

The registrant, AFM and its affiliates have common management and utilize the same facilities. As a result, certain administrative expenses are allocated among these related entities. All of such activities and any other transactions involving the affiliates of the Managing Member of the registrant are governed by, and are conducted in conformity with, the limitations set forth in the Operating Agreement of the registrant. Reference is made to Note 3 of the Financial Statements, as presented, and is incorporated herein by reference, for details of related party transactions for the years ended December 31, 20172022 and 2016.2021.

Neither the registrant, nor the Managing Member of the registrant, has a board of directors consisting of any members who are "independent."  The“independent.”  In 2020 through date of his death, the sole director of the Managing Member, Robert P. Johnson, is also the Special Managing Member of the registrant, and iswas the Chief Executive Officer, and indirectly the principal owner, of the Managing Member. Patricia Johnson now serves as the sole director of the Managing Member.  Accordingly, there is no disinterested board, or other functioning body, that reviews related party transactions, or the transactions between the registrant and the Managing Members, except as performed in connection with the audit of its financial statements.

The limitations included in the Operating Agreement require that the cumulative reimbursements to the Managing Members and their affiliates for certain expenses will not exceed an amount equal to the sum of (i) 20% of capital contributions, (ii) 1% of gross revenues, plus an initial leasing fee of 3% of gross revenues for the first five years of the original term of each lease, (iii) 3% of Net Proceeds of Sale, and (iv) 10% of Net Cash Flow less the Net Cash Flow actually distributed to the Managing Members. The cumulative reimbursements subject to this limitation are reimbursements for (i) organization and offering expenses, including commissions and an Organization Fee, (ii) acquisition expenses paid with proceeds from the initial offering of Units, (iii) services provided in the sales effort of properties, and (iv) expenses of controlling persons and overhead expenses directly attributable to the forgoing services or attributable to administrative services. As of December 31, 2017,2022, these cumulative reimbursements to the Managing Members and their affiliates did not exceed the limitation amount.

The following table sets forth the forms of compensation, distributions and cost reimbursements paid by the registrant to the Managing Members or their Affiliates in connection with the operation of the Fund for the period from inception through December 31, 2017.2022.

The following is a summary of the fees billed to the Company by Boulay PLLP for professional services rendered for the years ended December 31, 20172022 and 2016:2021:

Audit Fees - Consists of fees billed for professional services rendered for the audit of the Company'sCompany’s annual financial statements and review of the interim financial statements included in quarterly reports, and services that are normally provided by Boulay PLLP in connection with statutory and regulatory filings or engagements.

Audit-Related Fees - Consists of fees billed for assurance and related services that are reasonably related to the performance of the audit or review of financial statements and are not reported under "Audit Fees." These services include consultations concerning financial accounting and reporting standards.

Tax Fees - Consists of fees billed for professional services for federal and state tax compliance, tax advice and tax planning.

All Other Fees - Consists of fees for products and services other than the services reported above.

Policy for Preapproval of Audit and Permissible Non-Audit Services

Before the Independent Registered Public Accounting Firm is engaged by the Company to render audit or non-audit services, the engagement is approved by Mr.Mrs. Johnson acting as the Company'sCompany’s audit committee.

(a) (1) A list of the financial statements contained herein is set forth on page 15.18.

(a) (2) Schedules are omitted because of the absence of conditions under which they are required or because the required information is presented in the financial statements or related notes.

(a) (3) The Exhibits filed in response to Item 601 of Regulation S-K are listed below.