A salam contract can be defined as a contract of sale where the seller agrees to supply specific goods to the buyer on a deferred basis in exchange of an advanced price fully paid on the spot.

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Quizplus · Accepted Answer

A salam contract is indeed a type of Islamic financial contract where the buyer pays the seller in full at the time of the contract, while the seller agrees to deliver specific goods at a future date. This is commonly used in agricultural financing and other sectors where goods are produced over time.

A Salam Contract Can Be Defined as a Contract of Sale