In running Musharakah, the share of client’s capital is determined through:

• A) Actual amount utilized by the client
• B) Amount disbursed by the bank
• C) Total limit assigned to the client
• D) Average sale proceeds of client

The most popular mode of financing for working capital is:

• A) Murabaha
• B) Istisna
• C) Mudarabah
• D) Ijarah

When did Islamic banking started in Pakistan?

• A) 1998
• B) 2002
• C) 2006
• D) 2000

Which of the following cannot be the part of capital in Musharakah?

• A) Commodities
• B) Debts
• C) Liquid assets
• D) Fixed assets

L/Cs for business purpose is opened by Islamic banks using:

• A) Murabaha
• B) Mudarabah
• C) Salam
• D) Istisna

In Mudarabah, which of the followings party has no right to participate in management?

• A) Mudarib
• B) None of the given options
• C) Neither Mudarib nor Rabb ul Maal
• D) Rabb ul Maal

Which of the following is not true regarding partners of Musharakah?

• A) Partners should be mature
• B) Partners should not be a minor
• C) Partners should be sound mind
• D) Partners should only be natural person

Which of the following needs cannot be fulfilled using Salam contract?

• A) Hiring tractor for farming
• B) Paying salaries to labor
• C) Paying the electricity bill
• D) Purchasing seeds and fertilizers

Identify the situation(s) where the negligence of the partners are proven

• A) All of the given option
• B) Partner works against the norms of the business
• C) Partner does not abide by the terms and conditions
• D) Established wrong intention of a partner

The term Musha’ can be defined as:

• A) The dividable ownership of the asset by the partners
• B) The separated ownership of the asset by the partners
• C) The undivided ownership of the asset by the partners
• D) None of the given

Which of the following is not considered as the role of mudarib in Mudaraba contract?

• A) Principal
• B) Partner
• C) Trustee
• D) Agent

Which of the following party will be appointed as an agent of bank in Import financing through Murabaha?

• A) Correspondent bank
• B) Exporter
• C) Importer
• D) Exporter’s bank

Islamic banks can use diminishing Musharakah for financing the:

• A) Fixed assets
• B) Liquid assets
• C) Working capital requirements
• D) Intangible assets

Standard No. 2 of AAOIFI provides the guidelines regarding:

• A) Letter of guarantee
• B) Letter of credit
• C) Murabaha process flow
• D) Electronic money

All of the following contracts are used in Export financing by Islamic banks, EXCEPT:

• A) Wakalah
• B) Istisna
• C) Kafalah
• D) Murabaha

The party who sells the insurance policy is known as:

• A) Insurable
• B) Insurer
• C) Insure
• D) Insured

The report prepared by Sharia Board is published in:

• A) Islamic bank’s Annual Reports
• B) SBP’s annual reports
• C) Weekly newspaper
• D) SBP’s Islamic banking bulletin

All of the followings are considered as the major issues in Musharakah financing, EXCEPT:

• A) Lack of proper book keeping
• B) Dishonesty
• C) Charity clause in case of late payment
• D) Customer mindset

Which of the following prohibited element (s) is/are present in conventional insurance?

• A) Riba
• B) Qimar
• C) Gharar
• D) All of the given options

Which of the following best explains the rule regarding loss sharing in Mudarabah contract?

• A) Loss will be borne by the Mudarib
• B) Loss will be shared by the partners equally
• C) Loss will be borne by the Rab ul Maal
• D) Loss will be transferred to the suppliers and customers