Question 1

How do experts envisage the future of the Islamic Finance Industry?

Accepted Answer

Experts believe that Islamic finance will continue its significant growth path through offering more competitive Sharī'ah -compliant products. The future of the Islamic finance industry looks bright. It has promoted sustainable practices that ensure profitable transactions that do not negatively affect investors and shareholders alike. International standard-setting bodies such as AAOIFI, IFSB and International Islamic Fiqh Academy plays a great role in guiding the industry. The Islamic finance industry gained a reputable name after the global financial meltdown in the early 21^st century because most of the underlying causes of the crisis were practices forbidden in Islam. Since the search for a new monetary system is underway globally, Islamic finance seems to be a suitable alternative mode of finance in the modern world. The growing recognition accorded to Islamic financial products in some European and American financial and insurance institutions in the post-financial crisis era attests to this projection. The global spread of Islamic finance products is expected to reach Latin America and other parts of the world.

Question 2

____________ is not a key operating mechanisms of Islamic banking and finance industry.

Accepted Answer

A)  fund mobilization 
B)  fund utilisation 
C)  takaful/retakaful 
D)  leasing mode 
A)  fund mobilization 
B)  fund utilisation 
C)  takaful/retakaful 
D)  leasing mode C

Question 3

Which one of the following statements. is/are true?

Accepted Answer

A)  by the end of 2010, it was estimated that the total size of Islamic financial assets was more than US$1 trillion 
B)  Sharī'ah -compliant assets rose by 8.85 percent from US$722 billion in 2009 to US$985 billion in 2010 
C)  by the end of 2011, the total estimate of Sharī'ah -compliant assets was put at US$1.38 trillion 
D)  all of the above 
A)  by the end of 2010, it was estimated that the total size of Islamic financial assets was more than US$1 trillion 
B)  Sharī'ah -compliant assets rose by 8.85 percent from US$722 billion in 2009 to US$985 billion in 2010 
C)  by the end of 2011, the total estimate of Sharī'ah -compliant assets was put at US$1.38 trillion 
D)  all of the above A

Question 4

Dubai Islamic Bank DIB. operates the following main business groups.:

Accepted Answer

A)  retail banking 
B)  corporate banking 
C)  real estate 
D)  all of the above 
A)  retail banking 
B)  corporate banking 
C)  real estate 
D)  all of the above

Question 5

The resolution of Islamic Fiqh Academy is considered one of the main sources of Al Sharī'ah Islamic law. that constitute the basis of Islamic banking and finance

Accepted Answer

A) True 
 B)False

Question 6

Takaful and retakaful play a significant role in managing and mitigating risks in Islamic banking and finance.

Accepted Answer

A) True 
 B)False

Question 7

Islamic financial architecture and infrastructure provide crucial support for sustainable practices in the Islamic financial services industry, which includes:

Accepted Answer

A)  payment-settlement systems, legal institutions and framework 
B)  safety net 
C)  liquidity support providers 
D)  all of the above 
A)  payment-settlement systems, legal institutions and framework 
B)  safety net 
C)  liquidity support providers 
D)  all of the above

Question 8

The existing mediums of exchange currencies. during the advent of Islam in the Arab region were the dinar Gold. and dirham Silver..

Accepted Answer

A) True 
 B)False

Question 9

Describe the Mit Ghamr experiment and explain its significance as the first modern-day trial of Islamic banking.

Accepted Answer

The Islamic saving bank, which was premi

Question 10

The Islamic banking component of Islamic financial services may be:

Accepted Answer

A)  fully fledged Islamic banks, 
B)  Islamic subsidiaries 
C)  'windows' of conventional banks. 
D)  all of the above 
A)  fully fledged Islamic banks, 
B)  Islamic subsidiaries 
C)  'windows' of conventional banks. 
D)  all of the above

Question 11

The enormous development of Islamic banking and finance industry means that there no room for improvement to meet modern challenges facing the industry.

Accepted Answer

A) True 
 B)False

Question 12

A comprehensive study conducted on Islamic finance products and instruments reveals that:

Accepted Answer

A)  about 1,357 products extracted from 41sources 
B)  about 1,753 products extracted from 14 sources 
C)  about 1,357 products extracted from 14 sources 
D)  about 1,537 products extracted from 41 sources 
A)  about 1,357 products extracted from 41sources 
B)  about 1,753 products extracted from 14 sources 
C)  about 1,357 products extracted from 14 sources 
D)  about 1,537 products extracted from 41 sources

Question 13

International bodies dedicated to enhancing Islamic finance industry include:

Accepted Answer

A)  the International Islamic Financial Market IIFM. 
B)  Islamic Financial Services Board IFSB. 
C)  accounting and Auditing Organisation for Islamic Financial Institutions AAOIFI. 
D)  all of the above 
A)  the International Islamic Financial Market IIFM. 
B)  Islamic Financial Services Board IFSB. 
C)  accounting and Auditing Organisation for Islamic Financial Institutions AAOIFI. 
D)  all of the above

Question 14

Which of the following is not a function of the Islamic Development Bank IDB.?

Accepted Answer

A)  to accept deposits and mobilizing financial resources through Sharī'ah compatible modes 
B)  to Assist in the promotion of foreign trade especially in capital goods, among member countries 
C)  to regulate the Islamic banking and financial industry 
D)  to establish and operate special funds for specific purposes 
A)  to accept deposits and mobilizing financial resources through Sharī'ah compatible modes 
B)  to Assist in the promotion of foreign trade especially in capital goods, among member countries 
C)  to regulate the Islamic banking and financial industry 
D)  to establish and operate special funds for specific purposes

Question 15

The period of the noble companions and the succeeding generations was marked by:

Accepted Answer

A)  tremendous increase in level of commercial interaction between merchants in the Islamic state and other regions 
B)  further development of fiqh Islamic jurisprudence. 
C)  advanced economic reforms based on self-exerted judgment ijtihad. 
D)  all of the above 
A)  tremendous increase in level of commercial interaction between merchants in the Islamic state and other regions 
B)  further development of fiqh Islamic jurisprudence. 
C)  advanced economic reforms based on self-exerted judgment ijtihad. 
D)  all of the above

Question 16

The following are examples of non-profitable Islamic financial products EXCEPT:

Accepted Answer

A)  zakat alms. 
B)  waqf charitable endowment. 
C)  tabaru'at gratuitous contracts. 
D)  musharakah 
A)  zakat alms. 
B)  waqf charitable endowment. 
C)  tabaru'at gratuitous contracts. 
D)  musharakah

Question 17

The period of Orthodox Caliphate covered the period between 632 - 661 C.E. The four rightly-guided Caliphs are:

Accepted Answer

A)  Abu Bakr, Umar, 'Uthman, and Salman 
B)  Abu Bakr, Umar, Uthman and Ali 
C)  Abu Bakr, Uthman, Ali, and Uthman 
D)  Omar, Ali, Abu Bakr, and Abdel Malik. 
A)  Abu Bakr, Umar, 'Uthman, and Salman 
B)  Abu Bakr, Umar, Uthman and Ali 
C)  Abu Bakr, Uthman, Ali, and Uthman 
D)  Omar, Ali, Abu Bakr, and Abdel Malik.

Question 18

The first Caliph, Abu Bakr, was the first to introduce a centralized and permanent bait al-mal which is simply known as the Treasury House.

Accepted Answer

A) True 
 B)False

Question 19

Main multinational Islamic banks include:

Accepted Answer

A)  Bahrain Islamic Bank 
B)  Kuwait Finance House 
C)  Arab Islamic Bank 
D)  all of the above 
A)  Bahrain Islamic Bank 
B)  Kuwait Finance House 
C)  Arab Islamic Bank 
D)  all of the above

Question 20

At present, the membership of the Islamic Development Bank IDB. consists of 65 countries.

Accepted Answer

A) True 
 B)False

How do experts envisage the future of the Islamic Finance Industry?

____________ is not a key operating mechanisms of Islamic banking and finance industry.

Which one of the following statements. is/are true?

Dubai Islamic Bank DIB. operates the following main business groups.:

The resolution of Islamic Fiqh Academy is considered one of the main sources of Al Sharī'ah Islamic law. that constitute the basis of Islamic banking and finance

Takaful and retakaful play a significant role in managing and mitigating risks in Islamic banking and finance.

Islamic financial architecture and infrastructure provide crucial support for sustainable practices in the Islamic financial services industry, which includes:

The existing mediums of exchange currencies. during the advent of Islam in the Arab region were the dinar Gold. and dirham Silver..

Describe the Mit Ghamr experiment and explain its significance as the first modern-day trial of Islamic banking.

The Islamic banking component of Islamic financial services may be:

The enormous development of Islamic banking and finance industry means that there no room for improvement to meet modern challenges facing the industry.

A comprehensive study conducted on Islamic finance products and instruments reveals that:

International bodies dedicated to enhancing Islamic finance industry include:

Which of the following is not a function of the Islamic Development Bank IDB.?

The period of the noble companions and the succeeding generations was marked by:

The following are examples of non-profitable Islamic financial products EXCEPT:

The period of Orthodox Caliphate covered the period between 632 - 661 C.E. The four rightly-guided Caliphs are:

The first Caliph, Abu Bakr, was the first to introduce a centralized and permanent bait al-mal which is simply known as the Treasury House.

Main multinational Islamic banks include:

At present, the membership of the Islamic Development Bank IDB. consists of 65 countries.

Islamic Law of Contract

Financial Instruments of Islamic Banking and Finance

Financial Accounting of Islamic Banking Products

Corporate Governance for Islamic Financial Institutions

Islamic Asset and Fund Management

Islamic Bonds

Islamic Insurance Takaful

Islamic Microfinance

Risk Management in Islamic Finance

Filters

Exam 1: Islamic Banking and Finance: Principles and Practice

How do experts envisage the future of the Islamic Finance Industry?

____________ is not a key operating mechanisms of Islamic banking and finance industry.

Which one of the following statements. is/are true?

Dubai Islamic Bank DIB. operates the following main business groups.:

The resolution of Islamic Fiqh Academy is considered one of the main sources of Al Sharī'ah Islamic law. that constitute the basis of Islamic banking and finance

Takaful and retakaful play a significant role in managing and mitigating risks in Islamic banking and finance.

Islamic financial architecture and infrastructure provide crucial support for sustainable practices in the Islamic financial services industry, which includes:

The existing mediums of exchange currencies. during the advent of Islam in the Arab region were the dinar Gold. and dirham Silver..

Describe the Mit Ghamr experiment and explain its significance as the first modern-day trial of Islamic banking.

The Islamic banking component of Islamic financial services may be:

The enormous development of Islamic banking and finance industry means that there no room for improvement to meet modern challenges facing the industry.

A comprehensive study conducted on Islamic finance products and instruments reveals that:

International bodies dedicated to enhancing Islamic finance industry include:

Which of the following is not a function of the Islamic Development Bank IDB.?

The period of the noble companions and the succeeding generations was marked by:

The following are examples of non-profitable Islamic financial products EXCEPT:

The period of Orthodox Caliphate covered the period between 632 - 661 C.E. The four rightly-guided Caliphs are:

The first Caliph, Abu Bakr, was the first to introduce a centralized and permanent bait al-mal which is simply known as the Treasury House.

Main multinational Islamic banks include:

At present, the membership of the Islamic Development Bank IDB. consists of 65 countries.

Islamic Law of Contract

Financial Instruments of Islamic Banking and Finance

Financial Accounting of Islamic Banking Products

Corporate Governance for Islamic Financial Institutions

Islamic Asset and Fund Management

Islamic Bonds

Islamic Insurance Takaful

Islamic Microfinance

Risk Management in Islamic Finance

Filters