A private company's Articles permit issue of preference shares with preference only for dividend payment, NOT for capital repayment on winding up. Such an issue is:

1. Section 43 read with Rule 9 of the Companies (Share Capital and Debentures) Rules permits private companies to issue preference shares as their Articles allow. 2. Public companies generally require both preferences; private companies have flexibility. 3. Hence (D). _Source: ICAI BoS CA Inter Paper 2 — Share Capital and Debentures_