(A) Prohibition of interest
(B) Risk sharing
(C) Prohibition of speculative behaviour
(D) All of the above
The answer is: (D) All of the above
Category: Islamic Banking and Finance MCQs
Islamic Banking and Finance MCQs Quiz Test Questions with Answers. Islamic Finance and Islamic Principles of Banking and Finance Multiple Choice Questions. Islamic Finance Questions and Answers.
A contract of sale where the seller declares his cost and profit to the buyer is known as
(A) murabaha
(B) mudarabah
(C) musharakah
(D) takaful
The answer is: (A) murabaha
In a business contract where one party brings capital and the other personal efforts in known as
(A) sukuk
(B) mudarabah
(C) musharakah
(D) takaful
The answer is: (B) mudarabah
In case of loss in a “Mudarabah Agreement “, the loss is borne by
(A) all the parties
(B) financier only
(C) entrepreneur only
(D) none of these
The answer is: (B) financier only
In case of loss in a “Mudarabah Agreement”, the bank passes on this loss to the
(A) depositors
(B) creditors
(C) mudarib
(D) loss is shared among parties
The answer is: (A) depositors
In Islamic finance, profits from sukuk can be derived from
(A) trading only
(B) investment only
(C) investment and trading
(D) trading and risk taking
The answer is: (D) trading and risk taking
Islamic Finance is strongly ________ oriented.
(A) profit
(B) money
(C) equity
(D) interest
The answer is: (C) equity
In Islamic Finance, the owner of capital ________ the profits made by the entrepreneur.
(A) can share
(B) cannot share
(C) receive
(D) can never take
The answer is: (A) can share
The Islamic financial system regards “the time value of money” as
(A) interest
(B) rent
(C) loss
(D) profit
The answer is: (D) profit
The Islamic financial system regards “the monetary value of time” as
(A) interest
(B) profit
(C) loss
(D) rent
The answer is: (A) interest