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General Terms and Conditions

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on period, where 'access' disregards any obstructions, firewalls, delays, or technical difficulties on the part of the User.

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2.11 All CIFE and ACIFE certification programs are non-refundable once payment is made.

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Exit Clause

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General

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4.10. Ethica™ makes every effort to base its content on the Shariah Standards of the Accounting and Auditing Organization for Islamic Financial Institutions. This does not imply that we are affiliated with, endorsed by, or working in collaboration with AAOIFI. We choose their standards out of an effort to promote Shariah convergence in the Islamic finance industry.

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4.13. If you decide to become a CIFE or ACIFE, Ethica reserves the right to share your name and contact details with other graduates, prospects, and other third parties for purposes of promoting the CIFE or ACIFE program.

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4.16. All prices quoted on Ethica’s website, print material, and digital material are in United States dollars (USD) unless noted otherwise.

Errata

1. In Module ‘Understanding Ijarah (part 1), it is stated that ‘earnest money is returned to client if he starts Ijarah as per his undertaking.’ Here, by earnest money we mean “Hamish Jiddya (security deposit)” and in some old literature of Islamic finance, earnest money has been used for the meaning of Hamish Jiddiyah. However, you may replace the words earnest money with security deposit.  
 
2. In Module ‘Understanding Murabaha’, it is stated under the heading of ‘Usability’ that an imported car can not be purchased at sea before reaching port. Please note the following as well: In addition to this documentary evidence, constructive possession also requires that the one possessing the asset must be in a position to use the item for which it is intended. For instance, one may not claim complete constructive possession of an imported car while it is still in transit at sea and he bought the car from its importer. Only once the car reaches the port and the owner is in a position to actually claim the vehicle does he establish constructive possession. However, the importer of the car may sell the car after receiving the bill of lading because it is in its constructive possession through the shipping company.  

3. In Module, ‘Understanding Murabaha’, it is stated under ‘profit calculation’ that the period of advance against Murabaha’ cannot be considered for determining the price of Murabaha goods. In Islamic Financial institutions, profits are calculated on the basis of the period for which the institution is out of fund in all modes of Islamic finance i.e. either in case of ‘Advance against Murabaha’, ‘Advance againt Ijarah’, ‘Advance against Diminishing Musharakah’ and ‘Advance against Salam & Istisna’ etc.

4. In ACIFE Accounting, the following statements should be noted for greater clarity:
Statement: “The amount that remains on the date of the statement of financial position from the funds the bank originally receives plus profit shares less losses if any, also decreased by withdrawals or transfers to other accounts.”
Replace with: “The amount remaining, at the date of the statement of financial position, from the funds originally received by the Islamic bank from the account holders plus (minus) their share in the profits (losses) and decreased by withdrawals or transfers to other types of accounts.”
Statement: “Decrease in assets resulting from the depreciation in their value or from reciprocal or no non-reciprocal transfers during the period covered by the income statement.”
Replace with: “A loss is a net decrease in net assets which results from holding assets that depreciate in value during the period covered by the income statement or from incidental legitimate reciprocal and non-reciprocal transfers (e.g penalties by Central Bank, or involuntary conversion of assets- theft, destruction, etc), except for non-reciprocal transfers with equity holders or holders of unrestricted investment accounts or their transfers.”
Statement: “In an operating Ijarah the economic life of an asset is depreciated and in an Ijarah Muntahiya bi Tamleek the contract tenure is depreciated.”
Replace with: “The difference between an Operating Ijarah and an Ijarah Nubtahiya Bi Tamleek is that in an Operating Ijarah, after the termination of the lease period the assets return to the bank; on its part the bank looks for a new lessee. Whereas, Ijarah Muntahiya Bi Tamleek provides an option for the customer to acquire the ownership at the end of a specified period.

5. Understanding Ijarah 2 (CIFE): Self assesment quiz - The “black, fully loaded car” is a “lease based on specifications.”

6. Schedule for Redemption Schedule Of Diminishing Musharakah in ACIFE FA, under the column for Formula For Consideration Of Usufructs, place brackets around (3ML + 1%) and In the formula, only one zero should be kept after the point as in the following formula
E5*(0.03+0.01)/(360)*90.

7. Understanding Musharakah 2 (CIFE): At 10:19, the answer for question number 3 is 535.05.

Disclaimer

The answers to all Islamic finance questions received at ethica.institute, by email, phone, fax, or by any other means, or are listed on Ethica's Q&A database, are provided for education and informational purposes only, without any express or implied warranty of any kind, including warranties of accuracy, completeness, or fitness for any particular purpose. The information contained in or provided from or through these answers is general in nature and not specific to you or anyone else and is not intended to be and does not constitute financial, legal, investment, trading or any other advice. You understand that you are using any and all information available on or through this and other answers at your own risk.