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Accounting For Musharakah As Accounting For Conventional Financing
Is it permissible to account for a Musharakah in the way that conventional banks account for their financing, which would consist of operating an account with debits and credits, and netting these off at the end of the period to arrive at either profit or
It will not be permissible to account for a Musharakah in the same manner as conventional banks account for their financing, for the latter is debt-based and the former is equity-based. The method described in the question is not permissible.

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