QUESTION 2

a. Based on the Islamic worldview, discuss the purpose of creation and briefly explain how the role of accounting relates to this purpose. (5 marks)

b. Explain briefly to the International Accounting Standards Board on the options available to make its IFRSs more compatible and relevant for Islamic financial institutions. (5 marks)

c. AAOIFI has issued ethical principles for accountants. In what aspects can the AAOIFIs ethical principles lead accountants and auditors to become more ethical in performing their job as compared to conventional ethical principles?