When the Fed Engages in an Overnight Repo

question 54

Multiple Choice

When the Fed engages in an overnight repo

• A)a bank agrees to hold a certain amount of clearing balances at the Fed.
• B)a secondary government securities dealer agrees to buy a security from the Fed one day and sell it back the next day.
• C)a primary government securities dealer agrees to sell a security to the Fed one day and buy it back the next day.
• D)The Fed repossesses property that a bank owns as punishment for the bank's failure to pay off a discount loan.

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Definitions:

Inhaled Poison

A toxic substance that is breathed into the lungs, potentially causing harm or injury to the body.

Fresh Air

Air that is outdoor, unpolluted, and considered beneficial to breathe in contrast to stale or indoor air.

Multiple Injuries

Refers to instances where an individual has suffered more than one physical injury, often as a result of accidents or traumatic events.

CABs

Acronym for cardiopulmonary resuscitation, airway, and breathing; key steps in emergency response to support vital functions.