(II) Offsetting Transaction with Third Party
{"Image DocumentName": "(II) Offsetting Transaction with Third Party", "Image ImageDescription": "Here, the bank which had gone into an original Salam Contract enters into a contract promising to sell the commodity to a third party on the delivery date. Since this is not a Salam Contract the bank does not receive advance payment. It would be a transaction carried out on maturity date based on a predetermined price. Note : This is very much like modern day forward/futures. The difference here being that the Islamic bank is offsetting an obligation \u2013 not speculating.", "Image XResolution": "37", "Image YResolution": "37", "Image ResolutionUnit": "Pixels/Centimeter", "Image Software": "SlidePlayer", "Image YCbCrPositioning": "Centered"}