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1974 M40 question 140-160

I have a 1974 145 with an M40 trans. My question is about the 3 wires that go to the reverse switch on the M40 transmission. This is probably a dumb question, but why are there 3 wires? I've been looking through the wire diagram and can't figure it out. I can get the reverse lights to go on with only 2 wires connected. Thanks for the help.






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