Wendy’s – Critical Factors. Accounting, Finance, SPSS Coursework

provide 1 item in your table (100-125 words per factor), explaining for each factors:
a. Justification for why this is a critical factor (use the criteria in Exhibit 1 as you think through your answer)
b. Why do you have confidence this factor could be material by mentioning how it would impact your magic number in terms of:
i. Change in revenue from volume; or
ii. Change in revenue from pricing; or
iii. Change in expenses
Write-up to Justify 3 Top Factors (see instructions above for details)
In explaining each of your critical factors below:
• State it clear in the first sentence
• In the text below, provide a citation back to where you found this information, especially numbers (use the data you collected as part of this exercise)
• Try not to make it simply a company-sponsored press release
Example:
We believe the growth of espresso products is a critical factor for Dunkin’ Brands Group. On May 8, 2019, a sell-side report from William Blair noted that espresso sales have grown 30% since launch a year earlier, which demonstrates the success of the product category. The company’s 1Q 2019 earnings call noted that new espresso products, such as the recent signature latte line, are also being developed. According to an industry trade website, DNKN’s espresso sales could grow by $50 million in revenue over the next year which would exceed our revenue-from-volume impact zone, resulting in more than 5% change to EPS.
Answer these questions below:
Potential Critical Factor #2: [Inernational Growth]
Your Text
Your Critical Factor #2:
“International growth”
Assumption #1 that needs to be investigated:
Assumption #2 that needs to be investigated:
the stock is about Wendy's