ETHICAL COMPLIANCE REPORT

BAJAJ ELECT.LTD

Sector:

Consumer Cyclical

Industry:

Furnishings, Fixtures & Appliances

Overall Compliance

compliant

PRIMARY BUSINESS FILTER
Home Appliances
compliant
REVENUE RATIO FILTER
1.2%
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DEBT RATIO FILTER
0%
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LIQUIDITY RATIO FILTER
7.2%
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Revenue Ratio

The sum of revenue from questionable and non-compliant sources should not exceed 3% of the total revenue. This ensures that the company has tolerable reliance on unethical sources of revenue.

1.2%

Non Compliant

Questionable

Compliant

CALCULATION

\textbf{Revenue Ratio:} \\[12pt] \dfrac{586448000.00}{49192449000.00} \times 100 = 1.20\%

FORMULA

\textbf{Revenue Ratio:} \\[12pt] \dfrac{\text{Unethical Segments}}{\text{Total Revenue}} \times 100 \; \leq \; 3\%

Segment	Compliance	Value
Electronics	compliant	₹4,727.74
Other Operating Revenues	compliant	₹105.04
Interest Income	non-compliant	₹56.84
Net Gain From Sale of Investment	questionable	₹1.81
other income	compliant	₹27.83

Debt Ratio

The interest bearing debt should not exceed 31% of the total assets. This is to ensure that the company is not paying a significant portion of its assets as interest.

CALCULATION

\textbf{Debt Ratio:} \\[12pt] \dfrac{0.00}{38331600000.00} \times 100 = 0.00\%

FORMULA

\textbf{Debt Ratio:} \\[12pt] \dfrac{\text{Interest Bearing Debt}}{\text{Total Assets}} \times 100 \; \leq \; 30\%

Liquidity Ratio

The total liquid assets should not exceed 90% of the total assets. This is to ensure that trading this stock does not become similar to trading a currency.

7.2%

CALCULATION

\textbf{Liquidity Ratio:} \\[12pt] \dfrac{2746859000.00}{38331600000.00} \times 100 = 7.20\%

FORMULA

\textbf{Liquidity Ratio:} \\[12pt] \dfrac{\text{Total Liquid Assets}}{\text{Total Assets}} \times 100 \; \leq \; 90\%