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A broker - dealer or other financial institution transfers cash to a government in exchange for securities and the government agrees to repay the cash

A broker-dealer or other financial institution transfers cash to a government in exchange for securities and the government agrees to repay the cash plus interest in exchange for return of the same securities. From the government's point of view, this transaction is a
Repurchase agreement.
Reverse repurchase agreement.
Derivative.
Option.

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