Question

Find out the incorrect: *
1 point
Hindu includes Buddha, Jain, Sikh, Parsi families
Sole proprietor is a business unit having unlimited liability
LLP firm may be constituted
HUF business may be formed by a group of people who do not belong to family

Answer 1

Hindu includes Buddha, Jain, Sikh, Parsi families- False

Sole proprietor is a business unit having unlimited liability- True

LLP firm may be constituted- (not sure) Section 366 (1) states that LLP can be registered as Company with certain conditions specific to LLP

HUF business may be formed by a group of people who do not belong to family- True. (HUF is a family which consists of all persons lineally descended from a common ancestor and includes their wives and unmarried daughters. An HUF cannot be created under a contract, it is created automatically in Hindu, Jain and Sikh families)