CM-8.6 CM-8.6 Istisna'a
CM-8.6.1
As a policy no Istisna'a contracts should be entered without covering the position through a Parallel Istisna'a contract.
CM-8.6.2
In accordance with provisions contained in FAS 10: Istisna'a and Parallel Istisna'a, revenue and profit on such contracts should be recognised on a percentage of completion method.
CM-8.6.3
For a detailed definition, disclosure requirements and method(s) of accounting treatment, refer to AAOIFI's FAS 10: Istisna'a and Parallel Istisna'a.
