If there is a loss at Mudaraba liquidation: a. The Rab al-Maal can require a Mudarib to
Question:
If there is a loss at Mudaraba liquidation:
a. The Rab al-Maal can require a Mudarib to provide a guarantee against his/her negligence if there has been any.
b. If a Mudarib fails to pay the cash on liquidation or losses are due to misconduct or his/her negligence, the Islamic bank should not record a receivable.
c. The bank should not recognise it if the loss is not caused by the misconduct or negligence of the Mudarib.
d. The bank will debit Mudaraba capital and the loss on liquidation and credit cash.
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Related Book For
Financial Reporting For Islamic Financial Institutions Accounting Standards Interpretation And Application
ISBN: 9781032464022
1st Edition
Authors: Abdul Rauf Mahar, Ayesha Bhatti, Muhammad Junaid Ashraf, Asfand Zubair Malik
Question Posted: