Question 3 Ahmed, Mohamed, and Marwa plan to undertake a project to build a hotel in Musandam. (a Assuming that cach of them contributed OMR1 million, OMR2 million and OMR3 million respectively to the project. They also agreed to the profit-sharing ratio of 1:3:4. (3 Marks), (1) EXPLAIN why Mudharabah arrangement is irrelevant to the above scenario and accordingly, IDENTIFY and EXPLAIN the most relevant Islamic finance contract based on the above situation, (4 Marks) (11) The above arrangement suggests that the pre agreed profit sharing ratio is different than the capital contribution ratio potentially due to several "unique factors". CALCULATE the capital contribution ratio, IDENTIFY which and EXPLAIN why the "unique factors" (TWO Only) would influence the partners to have different ratios between capital contribution and profit sharing. (4 Marks) (111) CALCULATE the profits or losses to be shared among them in separate events of the project generating OMR1.5 million profits and OMRO.9 million losses respectively. (4 Marks), (iv) Assuming now that Ahmed and Mohamed have the capital but NOT Marwa and that Marwa has the skills and experience and willing to execute the project. State WHETHER and HOW your answer in Question (2) (i) above would be different or similar. (b) Marwa claimed that: Investors and depositors in the Sultanate are linked indifferently between Meethaq Islamic Bank and Muscat Bank: (ii) The position of Meethaq Islamic Bank in Mudharabah arrangement is dissimilar in the context of investment account deposit and financing EXPLAIN WHY you should agree with Marwa's arguments above. Question 3 Ahmed, Mohamed, and Marwa plan to undertake a project to build a hotel in Musandam. (a Assuming that cach of them contributed OMR1 million, OMR2 million and OMR3 million respectively to the project. They also agreed to the profit-sharing ratio of 1:3:4. (3 Marks), (1) EXPLAIN why Mudharabah arrangement is irrelevant to the above scenario and accordingly, IDENTIFY and EXPLAIN the most relevant Islamic finance contract based on the above situation, (4 Marks) (11) The above arrangement suggests that the pre agreed profit sharing ratio is different than the capital contribution ratio potentially due to several "unique factors". CALCULATE the capital contribution ratio, IDENTIFY which and EXPLAIN why the "unique factors" (TWO Only) would influence the partners to have different ratios between capital contribution and profit sharing. (4 Marks) (111) CALCULATE the profits or losses to be shared among them in separate events of the project generating OMR1.5 million profits and OMRO.9 million losses respectively. (4 Marks), (iv) Assuming now that Ahmed and Mohamed have the capital but NOT Marwa and that Marwa has the skills and experience and willing to execute the project. State WHETHER and HOW your answer in Question (2) (i) above would be different or similar. (b) Marwa claimed that: Investors and depositors in the Sultanate are linked indifferently between Meethaq Islamic Bank and Muscat Bank: (ii) The position of Meethaq Islamic Bank in Mudharabah arrangement is dissimilar in the context of investment account deposit and financing EXPLAIN WHY you should agree with Marwa's arguments above