Question
Memoona, Komal, Sidrah, and Anum invested Rs. 2,224,754, Rs. 4,000,000, Rs. 4,420, 000, and Rs. 5,050,000 respectively in a joint business for two years. All
Memoona, Komal, Sidrah, and Anum invested Rs. 2,224,754, Rs. 4,000,000, Rs. 4,420, 000, and Rs. 5,050,000 respectively in a joint business for two years. All are working partners but order of being most experience and skilful in partners is Memoona > Sidrah > (Anum=Komal). Business earned gross income of Rs. 6,600,400, Rs. 5,050,000, and Rs. 6,500,000 in first three quarters respectively, while net income of 4th quarter is Rs. 2,000,000. Their salary and utility expenses were Rs. 7,200,000 and Rs. 2,400,000 per Anum respectively. They also paid Rs. 800,000 annual tax. At the end of 4th quarter, Memoona left the business. Anum and Komal bought her share in ratio of 40:60. Remaining partners continued the business and earned profit of Rs. 3,000,000 after deducting the expenses of Rs. 2.5 mill at the end of 5th quarter. In the beginning of 6th quarter, they terminated Shirkah and collectively signed unrestricted Mudarabah contract with Nimrah on the condition that Nimrah's profit share would be 30% as Mudarib. With the permission of all rabb-ul-mals, Nimrah gave that amount to XYZ Company on restricted Mudarbah basis on the condition that XYZ will take 20% profit share and remaining will go to the Nimrah. Now XYZ earned net profit of Rs. 6 mill in first month and faced loss of Rs. 2 mill in second month of Mudarbah business. Keeping Islamic economic principles of profit and loss in mind, you are required to find out;
- How much profit/loss each partner will get/bear in first four quarters?
- How much profit/loss each partner will get/bear in 5th quarter?
- How much profit/loss XYZ, Nimrah and other partners will get/face in first two months of Mudarbah business?
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started