Nice Sdn Bhd is a company that dealing with oil palm estates. The company has recently decided to expand its business to Sabah and Sarawak.

Being one of the directors that is knowledgeable in Company Law, you are required to share your opinion in the following situation in the next meeting of Board of Directors.

2. In order to expand the business, Nice Sdn Bhd wants issue share amounts to RM1million that will be divided into ordinary shares and preferences.

You are required to explain to the Board the advantages and disadvantages of ordinary shares and preference shares by referring to the Companies Act 2016 and decided cases if any.