Islamic Financial System - Musharakah Quiz

What is the literal meaning of Musharakah?

• Joint ownership

• Intermingling of properties

• Profit and loss sharing

• Mixing of two properties

According to the Hadith, what did Allah say about the partnership?

• He is the third of the partners

• He is the second of the partners

• He is the first of the partners

• He is the fourth of the partners

What are the pillars of Musharakah?

• Shareholders, Capital, Business venture, Profit allocation, Offer

• Shareholders, Capital, Project, Pre-determined profit, Sighah

• Shareholders, Capital, Project, Profit allocation, Offer

• Shareholders, Capital, Project, Business venture, Acceptance

What is the nature of Musharakah?

• Profit and loss sharing partnership

• Equity-based partnership

• Interest-based partnership

• Debt-based partnership

Which type of Musharakah involves joint ownership of property?

• Syirkah al-Milk

• Sharikat Al-Wujuh

• Sharikat Al-A’mal

• Sharikat Al-Mufawadah

What are the conditions of Musharakah related to the project?

• The project must be lawful and the capital must be pooled together

• The project must be lawful and the shareholders must be qualified persons

• The project must be lawful and the ratio of profit sharing must be determined

• The project must be lawful and the evaluation for works is made on individual basis

What is the application of MusharakahMutanaqisah?

• Home financing

• Import/export financing

• Working capital financing

• Project financing

In which type of Musharakah does one partner promise to buy the equity share of the other partner gradually?

• Sharikat Al-Wujuh

• Sharikat Al-A’mal

• Sharikat Al-Mufawadah

• MusharakahMutanaqisah

What is the modern application of Musharakah?

• Securitization

• Sukuk Musharakah

• Interbank lending/borrowing

• Saving/Current/Investment account

Under what condition can a partnership be dissolved?

• By mutual consent of the parties

• All of the above

• When the project fulfills its obligation

• By a request made by one of the parties