A repo is:
A)a long-term loan.
B)a very short-term loan.
C)another name for a corporate bond.
D)government debt that it cannot repay.

Name: A repo is: A)a long-term loan. B)a very short-term loan. C)another name for a corporate bond. D)government debt that it cannot repay.
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Question

Quizplus · Accepted Answer

A repo is a short-term (usually overnight) loan in which an investor sells securities to another investor and agrees to buy them back at a higher price the next day. It is a type of repurchase agreement, hence the name "repo."

A Repo Is