If a company received more application than the possible issue of debentures, it is called ___

None of these

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Oversubscription

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Subscribed at par

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Subscribed at premium

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Solution

The correct option is B
Oversubscription

If a company received more application than the possible issue of debentures, it is called oversubscription.

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Similar questions

Q. When a company receives application for subscriptions to the shares of the company much more than the issued capital, the issue is called __________.

A company issue 5,000 12% debentures of Rs. 100 each at par, payabale as follows:
On Application : 20
On Allotment : 80
How much money is received in allotment stage if all the moneys are duly received?

XYZ limited has issued 20,000 debentures of Rs.100 each redeemable after 4 years of which Rs 40 needs to be paid at application stage and Rs 60 needs to be paid at allotment stage. Let’s say the public has subscribed for 30,000 debentures. How much money did the company received at the time of application?

Q. Issued debentures=20,000, Subscribed debentures=30,000 Application money=Rs.40 each
should be refunded if the company decides to refund the excess.

Where the subscribed debentures are less than the issue of debentures, it is a case of ___________.

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If a company received more application than the possible issue of debentures, it is called ___

The correct option is B Oversubscription If a company received more application than the possible issue of debentures, it is called oversubscription.

The correct option is B
Oversubscription

If a company received more application than the possible issue of debentures, it is called oversubscription.