1. Wakalah is used by Islamic banks mostly for

a. Consumer loans 
b. Sales through documents
c. Fund management 
d. Guaranteeing payments

Answer (c)

2. The term Arbun refers to

a. Down payment 
b. Loan payment
c. Savings. 
d. Deposit with a bank.

Answer (a)

3. Banking may broadly be described as the business of providing

a. Investment services 
b. Financial services
c. Loans and mortgages 
d. Foreign exchange services

Answer (b)

4. Which of the following is a type of investing instrument?

a. Musharakah 
b. Tawarruq
c. Kafalah 
d. Qimar

Answer (a)

5.The term Aqd in Islamic commercial law refers to

a. Ownership of goods 
b. A contract
c. Non-permissible 
d. Permissible

Answer (b)

6. Takaful, a form of Islamic insurance, refer to a scheme for

a. Struggling for livelihood 
b. Perfect ownership
c. Equal distribution of wealth 
d. Mutual assistance and shared responsibility

Answer (d)

7. The Arabic term Ayn refers to

a. Time of possession 
b. Fixation of cost
c. A tangible (physical asset) 
d. Conditions

Answer (c)

8. What does the abbreviation IFSB stands for

a. Islamic Finance Supervision and Banking 
b. Islamic Financial Supervisory Board
c. Islamic Financial Services Board 
d. Islamic Financial Services Bank

Answer (c)

9. Shariah provides a network of ethical and moral rules of behaviour for

a. Potential buyers 
b. Travelling merchants
c. All participants in market 
d. Muslims only

Answer (c)

10. Religious supervisory board of Islamic banks plays an important role in

a. Determination of the ratio of profit-sharing according to Islamic principles.
b. Raising capital for the banks according to Islamic principles.
c. Introduction of new product and services that comply with Islamic princples.
d. Mobilisation of funds according to Islamic principles

Answer (c)