Question 4 • Financial Math - MA2007 CR
The $100,000 limit applies to Sam’s total deposits at each bank, not separately to each account. At Bank J, $100,000 of $230,000 is insured; at Bank K, all $95,000 is insured; and at Bank L, $100,000 of $200,000 is insured. The total insured amount is $100,000 + $95,000 + $100,000 = $295,000, choice a.
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