A Man Cuts Back on His Latte Habit and Instead

question 91

Multiple Choice

A man cuts back on his latte habit and instead makes $20 deposits each month into a savings account earning 6% interest compounded monthly. He continues these deposits for eight years. How much will the account be worth after eight years?

• A) $1920
• B) $2457
• C) $2941
• D) $3250

---

Definitions:

Jointly Profit

A situation where two or more parties share the financial gains from a business endeavor or investment.

Partnership Dissolution

The legal termination of a partnership agreement, leading to the cessation of business activities and the distribution of assets.

Formal Disbanding

The official process of dissolving an organization, group, or entity and ceasing its operations.

Limited Partners

Investors in a partnership who are not involved in daily operations and whose liability is limited to their investment.