Read the paragraph below about a company. Use your critical thinking to give your analysis...

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Accounting

Read the paragraph below about a company. Use your critical thinking to give your analysis about firms projected economic future and also share your thoughts about particular risk factors mentioned below that could potentially cause the future economic performance of the firm to deviate from these expectations.

The company has released promising projections of growth in earnings and revenue by 48% or 2.3% per annum with a return on equity forecasted to be 10.6% in the next three years. The company has discussed possible risk factors that will hinder such projections such as the ongoing Russian and Ukraine war. The war is causing an inflation in grain prices impacting the feed for livestock, and stirring a rise in protein prices. Furthermore, the demand for protein has shifted due to a desire for greener alternatives and sustainable foods with lower carbon footprints. Finally, the company is also worried about the rising cost of labor placing a strain on its competitive pricing in an already highly competitive market.

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