- Research the financial statements for the Nestle you chose for the 3.5 Assignment.
- Note: it is particularly recommended for this assignment you locate the annual statements (called 10-K forms) Nestle through the Nestle web site or by using the SECs . Annual statements will often include commentary explaining recent financial challenges and plans for the future.
- Many free financial websites, such as , provide financial data and ratios for public companies. Search for Nestle on Morningstar and then select Operating Performance for a list of ratios for previous years.
- Consider accessing Nestle reports through OCLS using the Business Insights: Essentials tool. Detailed financial and investment reports are available for hundreds of companies.
- Prepare a paper analyzing the Nestle growth challenges and making appropriate recommendations:
- Using the sustainable growth equation from your textbook, calculate the companys sustainable growth rate for at least the past three years. Compare your calculated sustainable growth rate to the Nestle actual growth rate in sales during this period.
- Begin your paper by creating a table showing the Nestle actual growth rates, the sustainable growth rates you calculated, and the four components of sustainable growth: profit margin, retention ratio, asset turnover, and financial leverage (assets/equity).
- Describe what growth challenge the company is currently facing.
- Analyze what actions the Nestle has taken to deal with their particular growth challenge. Your analysis should be based on changes in the components of sustainable growth, on the actions reported by executives in annual reports, and on any other commentary you discover through your research.
- Make a series of specific recommendations on what actions the Nestle could take in the future to address its growth challenges.
- Be sure to provide a detailed analysis and recommendation that demonstrates your critical thinking and understanding of financial analysis. Your finished paper should be 500600 words in length.
- Prepare your paper in Microsoft Word in a professional manner, using proper spelling, grammar, and APA style. Include a reference list. Be sure to cite your sources appropriately for your financial data and any commentary or analysis you rely upon.
Preview Rubric
4.5 Assignment (50 Point)
This table lists criteria and criteria group name in the first column. The first row lists level names and includes scores if the rubric uses a numeric scoring method.CriteriaLevel 4Level 3Level 2Level 1Criterion ScoreTable of Growth Calculations10 points
You demonstrated insightful critical thinking in preparing and presenting growth rates and their components in a manner that was comprehensive and clear.
9 points
You demonstrated competent critical thinking in preparing and presenting growth rates and their components in a manner that was clear.
8 points
You demonstrated competent critical thinking in preparing and presenting growth rates and their components, with some mistakes or in a manner that was not entirely clear.
7 points
(0-7 Points)
You demonstrated little to no critical thinking in preparing and presenting growth rates and their components, with serious mistakes or in a manner that was very unclear.
Score of Table of Growth Calculations,/ 10Analysis of Growth Challenges15 points
(14-15 Points)
You demonstrated clear, insightful critical thinking and provided a detailed response when you explained the current growth challenges faced by the company and the actions taken to deal with them.
13 points
You demonstrated competent critical thinking and provided a full response when you explained the current growth challenges faced by the company and the actions taken to deal with them.
12 points
(11-12 Points)
You demonstrated competent critical thinking when you explained the current growth challenges faced by the company and the actions taken to deal with them, with some minor errors.
10 points
(0-10 Points)
You demonstrated little to no critical thinking when you explained the current growth challenges faced by the company and the actions taken to deal with them, or your interpretation had multiple serious errors.
Score of Analysis of Growth Challenges,/ 15Conclusion and Recommendations15 points
(14-15 Points)
Your recommendations were clear, detailed, well-founded, and insightful.
13 points
Your recommendations were clear and well-founded.
12 points
(11-12 Points)
Your recommendations had minor errors, were not entirely clear, or were not well-founded.
10 points
(0-10 Points)
Your recommendations had serious errors or were unclear.
Score of Conclusion and Recommendations,/ 15Writing Quality10 points
Your sentence structure is complete with correct spelling, punctuation, and capitalization and varied diction and word choices.
Your assignment length is correct with sources correctly cited.
9 points
Your sentence structure has minor errors (fragments, run-ons) with correct spelling, punctuation, and capitalization but limited diction and word choices.
Your assignment length is correct with sources correctly cited.
8 points
Your sentence structure has several errors in sentence fluency with multiple fragments/run-ons and poor spelling, punctuation, and/or word choice.
Your assignment length is inappropriate with several citation errors.
7 points
(0-7 Points)
Your sentence structure has serious and persistent errors in sentence fluency, sentence structure, spelling, punctuation, and/or word choice.
Your assignment length is inappropriate with several citation errors or sources are not cited.
Score of Writing Quality,/ 10Rubric Total ScoreTotal/ 50