What are the best ways of calculating authorizedand preference shares?

Answer 1

Authorized shares refer to the maximum number of shares a company can issue, while preference shares are a specific class of shares that typically provide dividends before common shares. To calculate authorized shares, refer to the company's articles of incorporation or bylaws, which specify the total authorized amount. For preference shares, review the terms outlined in the company’s charter, including the number of shares designated as preferred and their rights, such as dividend rates and liquidation preferences.