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What information does a WLAN repeater need, to repeat a wireless signal?

Does a WLAN Repeater knows to repeat any signal data (whether it is encrypted or not), or are there requirenments, which this repeater has to fulfill, like knowing about encryption methods, protocols ...
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Setting up private and guest WiFi from Windows Server 2008 R2 for non profit (~20 users)

I'm about to set up a wireless network with a Active Directory domain. The problem is that the desktops they have at the office should connect via AD so they get access to shared resources, gp etc. ...