(a) The following are relevant information on the results of the business operations for Shariah Islamic Bank financial year ending 31 December 2019. The profit from the operation is before the distribution of profit to mudharabah depositors. The agreed profit-sharing ratio between Shariah Islamic Bank and mudharabah depositors is 75:25 respectively. Based on the case, which profit distribution policy do you think Shariah Islamic Bank may adopt? Please show all your workings and provide reasons. Details Amount (RM) Income from operations 64,500,000 Expenses from operations 31,500,000 Utilities bills 5,550,000 Fee based income 7,950,000 (b) Based on the calculated profit earlier, calculate the depositors rate of return for each deposit types. Please compute profit due to Alif who has invested RM300,000 from 1 February to 1 September 2019. Below is the following information pertaining to the deposit types, average balance, and the weights used for mudharabah deposit account in the Shariah Islamic Bank for the year 2019: Deposit Types Average balance Weights 6 months and less 52,500,000 0.25 9 months and less 60,000,000 0.50 12 months and less 67,500,000 1.00 More than 12 months 45,000,000 1.20 225,000,000

(c) Evaluate the differences between the financial reporting of Islamic banks as required by AAOIFI accounting standard and MFRSs/IFRSs by referring to financial statements 2019 in Bahrain Islamic Bank and Bank Muamalat Malaysia Berhad. (d) According to MFRS and AAOIFI, where should the mudharabah investment disclosed in the Statement of Financial Position? Please state the reason.

You can use any annual reports from bank of Bahrain for AAOIFI and any annual report of Bank Muamalat for MFRS