In the name of ALLAH, the most beneficient, the most merciful

Islamic Mode of Financing (FIN624)

Multiple Choice Questions (MCQs)

Objective Questions

  1. Wealth under the ________ system is distributed only in the form of wages.

    1. Islam
    2. Capitalism
    3. Socialism
    4. None of the given
  2. Which one of the following is an economic system that is based on the theory of private ownership of the factors of production, distribution and exchange?

    1. Islamic
    2. Capitalist
    3. Socialistic
    4. Communistic
  3. In ________ the man who invests Capital may himself run the business without the help of any partners or shareholders

    1. Private business
    2. Partnership
    3. Mudarabah
    4. Public Limited Company
  4. Islam accepts all factors of production of capitalist economic system except:

    1. Capital
    2. Labour
    3. Land
    4. Entrepreneur
  5. Under the ________, capital and land instead of being private property are considered to be national property.

    1. Capitalist economy
    2. Socialist economy
    3. Islamic economy
    4. None of the given
  6. ________ alone is considered to have a right to wealth under the Socialist economic system.

    1. Land
    2. Labor
    3. Capital
    4. Entrepreneur
  7. All of the following statements are true about "right of property" a man has over the things he exploits EXCEPT:

    1. This right is not absolute or arbitrary or boundless
    2. It carries certain limitations imposed by the real owner of the wealth
    3. Do not spent it where Allah has commanded it to be spent
    4. Refrain from spending where Allah has forbidden it to be spent
  8. Under capitalist economy while distribution of wealth the "Land" being a factor of production, receives its share in the shape of ________.

    1. Interest
    2. Wages
    3. Rent
    4. Profit
  9. Equitable circulation of wealth is necessary for:

    1. Landlords
    2. Employees
    3. Interest based economy
    4. Wellbeing of mankind
  10. Social economic system encourages and takes steps for:

    1. Equal distribution of wealth
    2. Collective welfare
    3. Full employment
    4. None of the given