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Question - MASS company Ltd issued for public subscription of 40,000,000 equity shares of Shs. 1000 each payable as under:
On application Shs. 200 per share
On allotment Shs. 500 per share (including premium)
On first call Shs. 200 per share
On second call Shs. 300 per share
Applications were received for 60,000,000 equity shares.
Required - Assess the reasons for over subscriptions on shares of MASS company Ltd?
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