ECSimplified, I'm sorry, I did misunderstand your question.
1) We do not have a way to convert your file to Amazon's .AZW file format. As a Kindle owner myself, the only ways I know this is possible is to sell the eBook through Amazon's CreateSpace Program, or each Kindle owner has the option to e-mail files to their Kindle and Amazon converts the file for a very small fee. I have done the second to read a some friends eBooks.
2) We do not have any limitations on the file type you can setup within your E-junkie account.
Amazon's .AZW file format is similar to the Mobipocket format, either .MOBI or .PRC. We do have merchants who sell eBooks in these formats.