Principles of Musharakah and Mudarabah

Principles of Musharakah and Mudarabah Musharakah and Mudarabah written in the books of Islamic fiqh generally means contracts which are formed for starting a joint venture in which all partners participate in the business from starting till end when assets are liquidated. The books of Islamic fiqh were written in an environment when there were only small trades and no large scale businesses took place. The principles of Musharakah and Mudarabah can be applied to small as well as large scale commercial enterprises. The basic principles of Musharakah and Mudarabah are as follows: Musharakah and Mudarabah financing is not interest based Financier /investor must share loss to the extent of their investment Profit is distributed according to the agreed ratio with their mutual consent, but the sleeping partner cant claim more than the ratio of his investment Loss suffered by partner is exactly according to the proportion of his investment For financing a project, the traditional method of Musharakah and Mudarabah can be easily applied. If a Financier wants to finance the whole project, he can use Mudarabah financing and if some parties want to finance the project jointly, they can adopt Musharakah financing. It is very easy to evaluate the capital if the Musharakah or Mudarabah have been effected since inception of the project. In case of Musharakah if any partner wants to withdraw from the business, the other partners can purchase his share at an agreed ratio. The partner can thus either fully own the business on his own or can sell the share of the partner who withdrew his capital to other person who can substitute the withdrawing financier Securitization of Musharakah Musharakah financing can be securitised easily, in case of big projects a huge sum is required which a few people cant afford. Every person investing is given a Musharakah certificate which represents the amount of money he has invested in business. After the start of the business and buying non liquid assets, the certificates can be treated as negotiable instruments which can be sold in the secondary markets. However, if all the assets of Musharakah are in liquid form, buying and selling of these certificates is not allowed because as all the assets are in liquid form and exchange of such assets means exchanging money for money, and for exchanging money for money both must be equal. Access from any side is Riba, which is prohibited in Islam In case if the money invested is invested in non-liquid assets as land, machinery etc. the Musharakah certificate will represent the portion of ownership in those Assets. In this of assets being in non-liquid form, it will be allowed by the shariah to sell certificates in the secondary market on any price agreed upon by the parties with their mutual consent In case the assets in the business are a mixture of liquid and non-liquid assets most of the schools of thoughts including shafii have allowed trading only if the size of non-liquid assets in the whole business is more than 50%. However, if the Hanafi view is adopted, transaction if valid even if the non-liquid assets are less than 50% but the amount must be greater than liquid assets and non-liquid assets must not be negligible Financing of a single transaction The principles of Musharakah and Mudarabah can be easily used for financing a single transaction. It can be applied for fulling day to day needs of small traders as well as for import and export transactions. An importer can approach financier for financing him for importing goods for a single transaction. Banks can also finance for importing goods. If the letter of credit has no restrictions, Mudarabah can be followed and if the letter of credit has restrictions, Musharakah suits for such case. After selling the imported goods, the sales proceed can be shared by the financier and the imported on an agreed ratio When finance is required for working capital of a already running business, the principles of Musharakah can be applies in the following ways Before investing in the running business the capital of the business can be evaluated by the mutual consent. As according to Imam Malik, non-liquid assets can also form a part of capital so, this view can be applied here. The value of the already running business will be the share of one partner and the amount of investment by the financier will be his share. The profit given to the financier is agreed upon by both the parties which should not exceed the amount of his investment. The Musharakah can be for a limited period of time like 6 months, one year, two years, after the completion of the term both the liquid and non-liquid assets are evaluated again and profit may be distributed on the basis of evaluation Sharing of gross profit Financing by the method above can be very difficult in case the business is big and has large number of fixed assets, because the valuation of the assets, their appreciation or depreciation may create accounting problems which can cause disputes among partners. In this case Musharakah may be applied in another way In this scenario, difficulty arise due to calculation of indirect expenses like salary of staff, depreciation of machinery etc. For solving such problem only direct expense like raw material, labour, etc. Shall be borne by the Musharakah. It means all the indirect expenses shall be borne by the industrialist and instead of net profit, gross profit shall be shared among the partners. In order to compensate the industrialist, the percentage of his profit may be increased Running musharakah account on the basis of daily products Most of the financial institutions finance working capital by opening a running account from where the client draws the money at different intervals and returns surplus money. This process of credit and debit goes on and up to date of maturity. interest is calculated on the basis of daily products For making such arrangement possible for Musharakah Financing, following procedure may be suggested A portion of the actual profit must be used for management of the business A portion of the profit must be used for paying the investors Loss must be borne by the investor in the exact ratio of their investment in the business The average of the contribution made to the musharakah account on daily basis must be treated as the share capital of the financier Profit earned at the end of the term must be calculated on daily product basis, and must be distributed among the partners accordingly If parties allow such arrangement, it does not seem to violate any principles of Musharakah However, this needs to be looked into by the experts of Islamic jurisprudence. Practically, it means the parties have agreed to the principle that the profit earned at the end of the agreed time will be divided by the capital utilized per day. Which will lead to average of money earned on daily. The amount of money earned per day will then multiplied by the total number of days the money is invested by the partner for the calculation of his actual profit Some of the scholars do not allow this method as this method does not reflect the calculations of the actual profit earned by a partner of the Musharakah. The business may have earned a huge profit during the time a partner had no investment at all or share of his investment would be negligible but he will be paid at par with the other partners who had invested a huge sum of money. Similarly, the business may have suffered a great loss when a particular partner had invested huge amount of money and he will pass on loss to the other partners despite of their no investment during the loss or having invested negligible amount of money The answer to the argument is that it is not necessary for the partners in Musharakah that they earn profit on the amount of their investment only. Once the Musharakah takes place the profit earned by the business are earned by all the partners despite whether their money in invested in the business or not. This is generally true for the Hanafi school of thought,ÂÂ   which does not make it necessary for a Valid Musharakah that the money invested by the partners are together mixed up

Courtroom work group Essay

During this paper I am going to be covering topics such as the courtroom work groups, the role of a prosecutor, the effects of the criminal justice funnel and the backlog of cases on the court system and the courtroom work group. Topics such as these are important to cover so that each individual has a complete understanding of the pros and cons of systems in the judicial system. What is a courtroom work group? â€Å"The professional courtroom actors, including judges, prosecuting attorneys, defense attorneys, public defenders, and others who earn a living serving the court.† (Pg. 312) By Frank Schmalleger 2011. From my understanding a courtroom work group is anyone who works as an employee of the court systems. This includes the bailiff, courtroom recorders, courtroom clerks and translators. During a daily basis the courtroom work group is expected to maintain interaction that serves the court and its many members. The courtroom work group is focused on bringing the case to a fair ending by communicating with each other even though there are different parties hoping for different outcomes. The reason they are able to communicate so well is because even though they support different sides of the case, they are all focused on closing the case quickly. If I was able to make changes to the courtroom work group I would like to change the allotted time each judge spends on a single case. I feel it is important that citizens understand what the judge is telling them and they feel like they are being treated with care not just being rushed through the system. Frank Schmalleger said, â€Å"An attorney whose official duty is to conduct criminal proceedings on behalf of the state or the people against those accused of having committed criminal offences.† (Pg. 315) A prosecutor has too many duties for one person to take on so they hire assistant district  attorneys who take over most of the court work. There are approximately 2,300 chief prosecutors assisted by 2,400 deputy attorneys. I believe that a prosecutor takes on a case by determining what the case fundamentals are and then deciding the amount of court work to assign each assistant attorney. The effects of the criminal justice funnel are certain individuals not being allotted the proper amount of time needed for the judge to look in to their case before being sentenced. I feel that the criminal justice funnel is just a way to speed up the amount of time you spend in the court system. Because of the lack of judges and funds our judicial system has, we are forced to be put through a system that is impersonal and processed too quickly. As of right now if every citizen going through the court system received as much time as they felt necessary, we would be in a permanent back log which means that one person could sit in prison awaiting trial for over a year when his case could have taken a substantially shorter amount of time with the criminal justice funnel. When members of the court work group are able to come to an agreement or plea-bargain, they are able to speed up the process and move on to the next case quicker and more effectively. Some solutions to making the criminal justice funnel more successful would be to put more money in to the judicial system so that more judges could be hired and citizens feel that they are provided with a more personalized journey through the court system. If this was applied the amount of backlog would be substantially reduced because there would be more judges to handle cases each day. In conclusion, I believe that the court system is always going to be changing. There are always going to be people who are not pleased with the way the judicial system is ran. There are also many aspects which do need attention and would be able to be fixed if only the funds were available. 2.00 chief prosecutors assisted by 2400 deputy attorneys. nal offences. udge is telling them and they feel like they are

Ideas, Formulas and Shortcuts for Expository Essay Samples for 3rd Grade Book Characters

Ideas, Formulas and Shortcuts for Expository Essay Samples for 3rd Grade Book Characters Explain why it's important to eat healthful foods. There are various kinds of expository essays. The majority of the moment, expository essays are presented by offering a wide range of topics and approaches to bring up the idea. All these types of writing provide sufficient details on this issue in easy to comprehend the logical purchase. Ruthless Expository Essay Samples for 3rd Grade Book Characters Strategies Exploited If you're going to compose an expository essay, be ready to devote much time hitting books. When you get a well-formulated topic, it's a half success of your final writing. In school, it's an unavoidable truth that you are going to be requested to write something about a topic which sometimes you're so eager to finish. There may be lots of things you wish to discuss, but when all is said and done, there's a need to acquire right to the point. More than every other so rt of writing, expository writing is a daily requirement of the majority of careers. Essay writing provides plenty of benefits to students in the academe. As all of us know, it's never a simple job to write especially college essays. What You Don't Know About Expository Essay Samples for 3rd Grade Book Characters Here are some guidelines you may utilize. If you wish to simplify the procedure, you can try activities like listing, clustering, freewriting, and questioning. You're able to consist of information based on your own personal life findings, but nevertheless, it shouldn't be the sole source. You just need to dig into current social problems of the local community and find the foundation for topics from that point. The Expository Essay Samples for 3rd Grade Book Characters Trap Let's look at another example. Jerusalem is often called the city of 3 religions. In reality, this lesson itself is an illustration of expository writing. The Appeal of Expository Essay Sam ples for 3rd Grade Book Characters Describe what you think it's going to be like. An introduction has become the most significant part your bit of writing. Then the next step is going to be to find out more about the expository essay structure. To continue to keep your writing smooth, make certain that your paragraphs transition well. Describe a number of the new responsibilities you are going to have when you enter middle school. Every day you'll be able to learn some new truth about science developments. Therefore, if you prefer to have nontrivial expository essay topic that demands thorough research, choose something which refers to a technological region of study. Look to your neighbor and inform them an overview of the story. The Key to Successful Expository Essay Samples for 3rd Grade Book Characters Cite the most essential ones, then describe, in your words, why they support your argument. Explain what types of feelings you get. Do not allow the fancy words fool yo u it's very likely that you've already written one without even being aware of it! Explain several methods you might handle somebody who's attempting to bully you. The conclusion ought to be a construction made from the past couple of paragraphs. Explain why it's so important to you. Explain the importance of the claim in regards to the total argument. Hurry up to complete an essay order form at the website and forget about worries! What You Should Do About Expository Essay Samples for 3rd Grade Book Characters Starting in the Next Five Minutes Well, that's just normal. Starting off with a considerable occurrence, discovery, or study will provide you with more points in factual research also. In addition, there are times when you truly feel like you don't wish to write something. It effectively tells your reader you've thought about your topic from several angles! You cannot begin writing an essay without a sharp clue about what things to write. While an expository essay n eeds to be clear and concise, it may also be lively and engaging. Consider your readers. Brainstorm ideas and select the topic that is ready to attract your audience. Locate the trustworthy information for the essay topic you will work on. That's the reason you should do an excellent pre-writing job trying to find the attractive topic, which you'd like to present to your intended audience. Such a planning has helped them think all of the way through the essay till they begin writing. The Benefits of Expository Essay Samples for 3rd Grade Book Characters From its name, you can guess that you need to have a crystal clear picture of a particular thing so as to offer your reader with a very clear and concise explanation. Define the characteristics which make a very good friend. Describe how you would handle a great friend who's angry with you. Spend some time considering the goal of your writing. Paragraph one is the point where the fourth-grader sets down his primary topic sentence. It's structured exactly as with any other essay with an introductory paragraph, w hich will include a sound thesis statement, and main body paragraphs which help to prove your thesis statement, and a conclusion paragraph that summarizes all of your points and wraps up your essay. As you're most likely already aware, it is quite rare to get a totally open-ended expository essay assignment. Examine the expository essay samples, which one can easily find online nowadays. Choose the one which you liek to compose a great expository essay! Creating an effective essay of the type may appear to be a more challenging task in comparison to other essays. Software manuals are full of this kind of writing. Your duty as the writer is to supply the reader with as much information as possible. Then you need to focus on your reader. Your reader will observe all details throughout the prism of your ideology.

Basic Guide to Using Spanish Adverbs

Like an adjective, an adverb is a type of word that often is used to provide needed details. Although we could make grammatically complete sentences without them, we would be severely limited in what we could convey. What Are Adverbs? Spanish adverbs are much like their English counterparts. There are at least two ways in which we can define what adverbs are: Words that tell us when, how, or where the action or process in a sentence takes place.Words that modify or limit the meaning of a verb, adjective, adverb, or entire sentence. As in English, most Spanish adverbs are derived from adjectives. Most Spanish adverbs that are derived from adjectives end in -mente, just as in English most end in -ly. Examples of Adverbs Classified by Function The following sentences give examples of the way adverbs can be used as shown in the above criteria. English translations follow roughly the same word order to help clarify the adverbs usage, although other word orders usually are possible.) Telling us when: Pronto voy a verte. (Soon I am going to see you. Pronto tells when I will see you.) Telling us how: Los estamos observando cuidadosamente. (We are watching them carefully. Cuidadosamente tells how they are being watched.) Telling us where: A Amanda le gusta jugar afuera. (Amanda likes to play outside. Afuera tells where Amanda likes to play by explaining where.) Modifying a verb: Entonces estudiamos con nuestros amigos. (Then we will study with out friends. Entonces affects the meaning of the verb estudiar by explaining when.) Modifying an adjective: Espaà ±a todavà ­a està ¡ muy verde. (Spain still is very green. Muy affects the meaning of the adjective verde by indicating intensity.) Modifying another adverb: Muy pronto voy a verte. (Soon I am going to see you. Muy affects the meaning of pronto by indicating intensity.) Modifying a sentence: Desafortunadamente no voy a estar aquà ­. (Unfortunately, I am not going to be here. Desafortunadamente affects the meaning of the rest of the sentence by explaining its significance.) Examples of Adverbs Classified by Meaning Adjectives can also be categorized by the way in way they change meaning. In some cases, this affects whether they come before or after what is modified. Adverbs of manner: Adverbs of manner are the most common and are used in a wide variety of situations, as they tell how something is done. In Spanish, they typically come after the verbs they modify. Estudia bien. (She studies well.)Canta mal. (He sings poorly.)Conduce lentamente. (He drives slowly.)Me abrazà ³ carià ±osamente. (She affectionately hugged me.)Leo mucho. (I read a lot.) Intensifiers and modifiers: These serve to make the adverb or adjective they modify either more or less intense. They come before the words they modify. Estoy muy cansada. (I am very tired.)Es poco inteligente. (He is not very intelligent.)Està ¡ mà ¡s borracho. (He is quite drunk.) Point of view adverbs: These adverbs modify an entire sentence and evaluate it. Although they usually come at the beginning of a sentence, they dont have to. Quizà ¡s à ©l tenga miedo. (Perhaps he is afraid.)Personalmente, no lo creo. (Personally, I dont believe it.)Pablo evidentemente estudia mucho. (Pablo obviously studies a lot.) Adverbs of time: These adverbs tell when something occurs. They often come after the verb but can come before. Salimos maà ±ana. (Were leaving tomorrow.)No estudia nunca. (He never studies.) Adverbs of place: These adverbs tell where an action or process occurs. They can be confusing for beginning learners, since many of the adverbs that indicate place can also function as prepositions or even as pronouns. Adverbs of place appear either before or after the verb they modify. It is more important in Spanish than in English to make certain that the adverb is placed close to the verb it modifies. Està ¡ aquà ­. (It is here.)Allà ­ comeremos. (Well eat there.)Te busca arriba. (He is looking for you upstairs.) Quick Takeaways Adverbs are a type of word that is used to affect the meaning of an entire sentence or certain words, particularly verbs, adjectives, and other adverbs by telling us how, when, or where.Spanish adverbs based on adjectives frequently end in -mente.Depending on how they are used, Spanish adverbs can be placed before or after the words whose meanings they change.