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Suppose the simple interest formula tells us that the (annualised) overnight repo rate is 4.75 per cent. What is the real annual rate of return

Suppose the simple interest formula tells us that the (annualised) overnight repo rate is 4.75 per cent. What is the real annual rate of return for entering into an overnight repo lending cash every day? (Assume that you can enter into a repo on all 365 days of the year.) Why is this higher?

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