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.
Non Compliant
Questionable
Compliant
CALCULATION
Revenue Ratio:46246600000.00462400000.00×100=1.00%
FORMULA
Revenue Ratio:Total RevenueUnethical Segments×100≤3%
| Segment | Compliance | Value |
|---|
| Sale of Scrap | compliant | ₹9.78 |
| Tiles | compliant | ₹4,105.38 |
| Others | compliant | ₹463.26 |
| interest Income | non-compliant | ₹31.07 |
| other income | non-compliant | ₹15.17 |
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
Debt Ratio:35429100000.001705900000.00×100=4.80%
FORMULA
Debt Ratio:Total AssetsInterest Bearing Debt×100≤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.
CALCULATION
Liquidity Ratio:35429100000.005141100000.00×100=14.50%
FORMULA
Liquidity Ratio:Total AssetsTotal Liquid Assets×100≤90%