Mitigation of Risk While Carrying Out Commercial Activities Is Not

question 17

True/False

Mitigation of risk while carrying out commercial activities is not permissible in Islam.

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Definitions:

Cash Sales

Transactions where payment is made by the customer at the time of purchase, involving immediate transfer of cash.

Accounts Receivable

Money owed to a company by its customers for products or services that have been delivered or used but not yet paid for.

Liquidity of Receivables

Indicates how quickly receivables can be turned into cash, reflecting a company's efficiency in managing credit it extends to customers.

Cash Sales

Transactions in which payment is made in full at the time of the sale, typically in cash.