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    Question

    Which of the following statements is correct A.

    In Repo transactions banks sell government securities to RBI with a repurchase agreement B. Repo transactions happens only against the security of government securities including T-bills
    A a. Only A is correct Correct Answer Incorrect Answer
    B b. Only B is Correct Correct Answer Incorrect Answer
    C c. Both A & B are Incorrect Correct Answer Incorrect Answer
    D d. Both A & B are Correct Correct Answer Incorrect Answer

    Solution

    The correct answer is D

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