17 beta car leasing company owns land on which it

  • Nixa High School
  • MTH 135
  • ChefUniverseSwan7
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17. Beta Car Leasing Company owns land on which it plans to build its office and garage. The company approaches its bank, Delta Islamic, for financing. The bank agrees to carry out the project, and they mutually agree on the price, date of delivery and the parties involved. Beta has requested from the bank the option of instalment
payment after delivery in the future, instead of full payment of the price. The bank has agreed. a. What is the Islamic product appropriate for financing this project? b. Who will own the office and garage at the end of the project? c. Describe the parties involved and the respective contracts necessary to complete the project. d. What can the bank demand to protect itself from the possible risks in this project? 18. Abdulla wants to manufacture specialized coffee machines for his Coffees of the World shop in Abu Dhabi. He contacted the Shariah Bank and requested the bank to finance his acquisition of these customized machines. Abdulla provided the bank with the specifications, quantity and other details of the machines to be manufactured. The bank contracted the Middle East Machine Suppliers to manufacture the machines with the exact details as provided by Abdulla. The bank signed the purchase agreement with Middle East Machine for payment during manufacture in instalments and the bank also signed the sales agreement with Abdulla for instalment payments after delivery. a. What type of Islamic banking contract is this? b. Explain if this is an asset-based or equity-based Islamic banking contract.
Takaful 1. Define the concept of Takaful.
2. Muslims believe everything happens by Allah’s will. Will they be interested in buying insurance or Takaful?
3. Why is conventional insurance not Shariah compliant?

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