A company's ability to issue unsecured debt depends on its credit standing.

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A company's credit standing is a major determinant of its ability to issue unsecured debt. If a company has a strong credit rating, it is more likely to be able to issue unsecured debt at favorable terms. Conversely, if a company's credit rating is weak, it may have difficulty accessing unsecured debt or may have to pay higher interest rates in order to do so.

A Company's Ability to Issue Unsecured Debt Depends on Its