which financing strategy would be most effective? Credit Market Conditions: Floating rate debt has risk of higher future interest payments than anticipated due to rising interest rates. Operational Flexibility: The company$$s management seeks to retain operational flexibility for business decisions. Debt Structure: The firm wants to maximize leverage to minimize equity financing, while balancing risk across different funding sources. Secure all financing through leveraged loans, which offer a floating rate tied to LIBOR and stricter covenants for operational discipline. Secure all financing through high yield bonds, providing fixed coupons, looser covenants, and unsecured obligations to balance risk. Combine leveraged loans and high yield bonds, balancing interest rate exposure, covenants, and financing flexibility across different funding sources. Use term loans to secure immediate capital, along with asset$-$based financing, a