Accountancy Part AIssue and Redemption of Debentures

When the number of Debentures applied for is more than the number of…

When the number of Debentures applied for is more than the number of debentures offered to public, the issue is said to be:

Answer & explanation

Correct answer: option 2

The correct answer is Option (2) → Over subscribed

NCERT (2026-27 edition):
Over Subscription – “When the number of debentures applied for is more than the number of debentures offered to the public, the issue is said to be over subscribed.”