Vosotros is used because the speaker is talking to more than one person.
Also, i read that vos (singular) is only used in Latin America.
Yes, the vosotros pronoun is used as a you plural (are you guys going to the party?) every time you refer to more than one person informally.
Vos is the equivalent of tú (singular you) that is used in some parts of Latin America. Here is a bit of information about voseo.
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