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A Sudanese Islamic bank invested into a grocery store for a one-month period, applying a Musharaka contract. The investment contributions of the bank and the
A Sudanese Islamic bank invested into a grocery store for a one-month period, applying a Musharaka contract. The investment contributions of the bank and the grocery store partner with the net profit are given in Table 1.2. Table 1.2 Sudanese bank investment contributions ( Sudanese) Bank Partner Total Investment 735 690 1425 Percentage 52 100 Net profit 179 271 450 48 It was agreed that the profit distribution for the management of the project should be 37% for the bank and 63% for the grocery store manager. The 37% was to be distributed as being 30% of the partner's percentage in the management with the bank contributing 7% of the management. It was also agreed that the 63% should be divided as being 30% of the partner's percentage of the profit and 33% as being the bank's percentage of the profit. Required: 1. Calculate the total amount received by each party (bank and grocery store) as the management share, the total amount received by each party as shared profit, the grocery store's monthly rate of return and the bank's monthly rate of return
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