ETHICAL COMPLIANCE REPORT

WONDER ELECTRICALS

Sector:

Consumer Cyclical

Industry:

Furnishings, Fixtures & Appliances

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%

Non Compliant
Questionable
Compliant

CALCULATION

Revenue Ratio:167000.005700214000.00×100=0.00%\textbf{Revenue Ratio:} \\[12pt] \dfrac{167000.00}{5700214000.00} \times 100 = 0.00\%

FORMULA

Revenue Ratio:Unethical SegmentsTotal Revenue×100    3%\textbf{Revenue Ratio:} \\[12pt] \dfrac{\text{Unethical Segments}}{\text{Total Revenue}} \times 100 \; \leq \; 3\%
SegmentComplianceValue
Scrap Sale
compliant
compliant
₹8.05
Other Operating Revenue
compliant
compliant
₹5.26
Interest income
non-compliant
non-compliant
₹0.02
Other Income
compliant
compliant
₹0.01
Ceiling fans, Exhaust fans, Pedestal fans and BLDC fans
compliant
compliant
₹556.68

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.

18.2%

CALCULATION

Debt Ratio:641051000.003524755000.00×100=18.20%\textbf{Debt Ratio:} \\[12pt] \dfrac{641051000.00}{3524755000.00} \times 100 = 18.20\%

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.

1.2%

CALCULATION

Liquidity Ratio:43688000.003524755000.00×100=1.20%\textbf{Liquidity Ratio:} \\[12pt] \dfrac{43688000.00}{3524755000.00} \times 100 = 1.20\%

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\%