4. Money market Instruments: Repurchase agreements Which of the following are typical repurchase…

4. Money market Instruments: Repurchase agreements Which of the following are typical repurchase agreement maturities? Check all that apply. 1 month 3 years B6 months 90 Which of the following are characteristics of repurchase agreements? Check all that apply. Their maturities are normally between 1 and 15 days, 1 month, 3 months, or 6 months. @ The size of the repo market is approximately $10 trition Banks and savings inutitutions are common borrowers and Investors in repos, whereas money market funds are common investors in these agreements There is no secondary market for repurchase agreements Suppose Cho initially purchased securities at a price of $29,460,000 while agreeing to sell them back to the original owner at a price of $30,000,000 at the end of a 3-month period. Assuming a 360 day year, the yield (or repo rate) on this repurchase agreement is: 6.74% 7.33% 7.40% 17.84%