Prorata allotment

Jagjeet Kaur (Student) (32 Points)

27 August 2016  

I want to know about the adjustment of excess of application money in the case of oversubscripttion.

where is excess amount of application adjusted first- in allotment or in premium?

Like, Rs.100 are in excess of application money. Amount required for allotment is Rs.250( including Rs.50 premium). Will it be right to say that premium is received?