Islamic Finance | MCQs

Explanation

The term "Riba" literally means "Any excess."

Explanation

Fitrana is the Urdu word for the Arabic al-fitr

, which, in technical usage, refers to Zakat al-Fitr.

or obligatory alms, of “Breaking the Fast” at the end of the month of Ramadan.

“Fitrana” refers specifically to the name of the obligatory payment, called fitrah in Arabic.

It derives from the Arabic word fitr, which literally means “the ‘nature’ upon which God created the human being.”

Explanation

District Zakat Committees.

Each of the district has one Zakat Committee which is notified by the Provincial Zakat Council

Explanation

Zakat is backbone in Islamic economy.

It is made compulsory in 2nd hijri

8 masarf e zakat is mentioned in surah Tooba

Explanation

Muhammad is the 47th chapter.

 The title is derived from the direct mentioning of the Islamic prophet Muhammad in 47:2.

It also has the name of Al-Qitāl,

which translates to fighting due to the context of the sura. 

No. of Rukus: 4

No. of verses: 38

Explanation

The Nisab when Zakat becomes applicable is forty animals that are more than twelve months old.

There is no Zakat if the number is less than forty.

How many camels render are to par Zakat? 5

How many sheep render are to pay zakat? 40

Zakat is payable on gold of_________7.5 tolas

Zakat is payable on silver of_______52.5 tolas

Explanation

Under Zakat and Ushr Ordinance 1980, Istehqaq for treatement through public hospital is determined by District Zakat and Ushr committee 

Explanation

 proceeds of Ushr to be deposited  in the PLA of District Zakat Fund;. (iv) transfers, if any, from the Local Zakat Funds

Introduction Zakat: One of the five pillars of Islam.

Only imposed on Muslims, it is generally described as a 2.5% tax on savings to be donated to the Muslim poor and needy.

Ushr: A 5% tax on the harvests of irrigated land and 10% tax on harvest from rain-watered land

Explanation

• Zakat is not permissible to be spent on the construction of a mosque.
• This is because it does not fit under any of the eight categories
• List of Head of Zakat

1. Al-Fuqara (The poor)

2. Al-Masakin (The needy)

3. Zakat collectors

4. Who converted to Islam

5. Freeing captives

6. Debtors

7. In the path of Allah

8. Wayfarer (Traveler)

Nisab of zakat for silver is 52 1/2 tola

Zakat literally means Purification.

When Zakat was made compulsory in 2 A.H (properly implemented in 8 Hijri.

The word Zakat occurs 32 times in the Holy Quran.

Hazrat Abu Baker did Jihad on the issue of Zakat.

Without which act the prayer is useless? Zakat

One who disbelievers in Zakat is a Kafir

“Zakat” is the treasure of Islam, who said this? Holy Prophet (PBUH)

Explanation

Usher shall be charged and collected on compulsory basis shall be from every land owner, grantee,allottee, lessee,leaseholder or landholder