Bank Sohar provides a financing facility based onmurabahah to the Purchase Orderer principles toAhmad for the purpose of house purchase.The financing is amounting to OR 131000 at aconstant rate of return 4 % for a period of 9 years.At year 0 the unearned income would be creditby:

Unearned income is the income for which right to recognize income is not established yet.

Answered: - unearned income

Business

Accounting

- unearned income

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter19: Lease And Intermediate-term Financing

Section: Chapter Questions

Problem 19P

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Question

Bank Sohar provides a financing facility based on
murabahah to the Purchase Orderer principles to
Ahmad for the purpose of house purchase.
The financing is amounting to OR 131000 at a
constant rate of return 4 % for a period of 9 years.
At year 0 the unearned income would be credit
by:

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