Both customer and bank enter into a musharakah contract which requires RM7 million of capital investment. The Islamic bank makes a contribution of RM4 million, while the remaining of the capital contributed by the customer. The agreed profit sharing ratio is 60:40 (60 percent to bank and 40 percent to customer). Loss of RM 1.5 million is incurred at the end of the investment period. Compute the amount of loss bare by the customer.
Both customer and bank enter into a musharakah contract which requires RM7 million of capital investment. The Islamic bank makes a contribution of RM4 million, while the remaining of the capital contributed by the customer. The agreed profit sharing ratio is 60:40 (60 percent to bank and 40 percent to customer). Loss of RM 1.5 million is incurred at the end of the investment period. Compute the amount of loss bare by the customer.
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Both customer and bank enter into a musharakah contract which requires RM7 million of capital investment. The Islamic bank makes a contribution of RM4 million, while the remaining of the capital contributed by the customer. The agreed profit sharing ratio is 60:40 (60 percent to bank and 40 percent to customer). Loss of RM 1.5 million is incurred at the end of the investment period. Compute the amount of loss bare by the customer.
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The net income is the net profit of the company earned during the period. The net income includes all the revenues and expenses incurred during the year.
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