Lending and Borrowing (Loan) is an example of compensatory contracts (Uqood-e-Mua'wadha) according to Islamic Law.

• True
• False

In barter exchanges, if the exchange occurs between homogeneous commodities, then according to Islamic Law, the exchange must be

• Both, on the spot and equal in quantity/weight
• Only on the spot
• Equal in quantity/weight only
• Both, on the spot and equality in quantity are not necessary

Takaful is derived from an Arabic word "Kafala" which means

• To invest
• To facilitate
• To guarantee
• To transfer rewards

Conventional bank borrows money from the account holders and pays them a predetermined return on it and then lends money to the clients and charges predetermined return from them

• True
• False

Note: no explanation needed