Answer the following questions:

Explain briefly about “Hindu undivided family business”.

‘Hindu undivided family business’ is an Indian phenomenon as such firms are only found in India. Joint Hindu families, form, own and manage such firms in accordance to the ‘Hindu Law’. They consist of only the male members in a family and only three successive generations of male members acquire the birth right or interest in the ancestral property. ‘Karta’ or the eldest or senior most member of the family – who is also the head of the family, manages the business. He has unlimited liability, while the liability of the others is limited to the extent of their share in the business.