Musharaka with Profits Assume the following:_ A company is importing and selling Mercedes cars. An Islamic bank invests US$8 million for an 80% profit share. An investor invests US$2 million for a 20% profit share. The investor is to be paid a 10% management fee as a percentage of profit after expenses. Assume: Sale proceeds = US$12,400,000 Expenses = US$200,000 Calculate: 1. The total return to the bank: 2. The total return to the investor: please provide an accurate and step by step answer.

Essentials Of Investments
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ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
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Musharaka with Profits

Assume the following:_

A company is importing and selling Mercedes cars.

An Islamic bank invests US$8 million for an 80% profit share.

An investor invests US$2 million for a 20% profit share.

The investor is to be paid a 10% management fee as a percentage of profit after expenses.

Assume:

Sale proceeds = US$12,400,000

Expenses = US$200,000

Calculate:

1. The total return to the bank:

2. The total return to the investor:

please provide an accurate and step by step answer. 

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