I would think, a grading company would grade a coin as it seems fit ,if it's VF or whatever I would think as long as you want to pay for grading, they would grade your coin.
North of 49, circulation/wear on a coin automatically takes a coin out of MS range.
If a coin has been circulated it is no longer mint state (i.e., how it came from the mint, "just struck", etc), therefore will not (and cannot) be graded MS. AU is "almost" or "about" uncirculated, and that's the closest the coin should get.
The above being said, if a coin has dipped into circulation extremely briefly then it may not have proof of any wear, which could still qualify it for MS in a grading company's eyes. It all depends on the amount of wear seen by the grader under the magnifier.
thanks everyone for your help , and xshift, your comments make sense and verify what I had read about grading coins. I was concerned that I might be over-grading my coins thanks for clearing this up.
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