ETHICAL COMPLIANCE REPORT

RESPONSIVE INDUSTRIES

Sector:

Basic Materials

Industry:

Specialty Chemicals

Overall Compliance

compliant

compliant

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.

0.2%

Non Compliant
Questionable
Compliant

CALCULATION

Revenue Ratio:18990000.0011053980000.00×100=0.20%\textbf{Revenue Ratio:} \\[12pt] \dfrac{18990000.00}{11053980000.00} \times 100 = 0.20\%

FORMULA

Revenue Ratio:Unethical SegmentsTotal Revenue×100  ≤  3%\textbf{Revenue Ratio:} \\[12pt] \dfrac{\text{Unethical Segments}}{\text{Total Revenue}} \times 100 \; \leq \; 3\%
SegmentComplianceValue
Investment Gain
questionable
questionable		₹0.73
Other Income
compliant
compliant		₹16.53
Polyvinyl Chloride (pvc)-based Products
compliant
compliant		₹1,086.97
Interest Income
non-compliant
non-compliant		₹1.17

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.

13.3%

CALCULATION

Debt Ratio:2055320000.0015460060000.00×100=13.30%\textbf{Debt Ratio:} \\[12pt] \dfrac{2055320000.00}{15460060000.00} \times 100 = 13.30\%

FORMULA

Debt Ratio:Interest Bearing DebtTotal Assets×100  ≤  30%\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.

1.4%

CALCULATION

Liquidity Ratio:213520000.0015460060000.00×100=1.40%\textbf{Liquidity Ratio:} \\[12pt] \dfrac{213520000.00}{15460060000.00} \times 100 = 1.40\%

FORMULA

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