8.2 Capital of Company

The capital's types (the exam's ladder): the authorised capital (the memorandum's ceiling — the maximum the company may issue); the issued capital (the portion actually issued to shareholders); the paid-up capital (the amount actually paid — the received capital); the called- up-and-uncalled faces (the instalment machinery); the reserve-and-the capital-reserve faces (the internal generation — the profits retained). The shares' types: the ordinary (equity) shares — the owners' common stock (the voting, the dividend's residual share, the capital's residual claim); the preference shares — the priority stock (the dividend's preference (the fixed return's priority), the capital's repayment preference, the voting's limitation — the trade-off's logic); the comparison table (the equity-vs-preference pair: the return, the risk, the control, the redemption); the modern faces (the sweat equity — the employees' consideration shares; the differential-voting-rights shares — the founder's control device). The issue of shares to public: the public issue's machinery — the prospectus (Unit 5.6's disclosure document), the SEBON's-and-the exchange's processes (the issue's scrutiny, the underwriting, the allotment's fairness); the private placement's contrast (the closed offer to the identified investors — the lighter discipline); the issue-at-premium- and-discount faces (the premium's treatment (the capital-reserve discipline), the discount's prohibition-class). The allotment: the application → the allotment sequence (the offer's acceptance — the contract's birth); the allotment's discipline (the minimum-subscription's protection; the over-subscription's fair handling (the…