Directions : In the following questions, a statement of Assertion (A) is followed by a statement of Reason (R). Mark the correct choice as:
(A): Govind Ltd. invited applications for issuing 20,00,000 equity shares of ₹10 each. The public applied for 17,10,000 shares. The company cannot proceed for the allotment of shares.
Reason (R): The application can only be processed if the company receives a minimum of 12.5% subscription.