Weegy: Assuming the interest is paid annually the present value (principal balance) is:
PV = FV / (1+i)^n
The above calculates what present value (PV) would be needed to produce a certain future value (FV) if interest (i) accrues for n periods.
So:
PV [ = 3360/(1+0.08)^1.5 = 2993.67
Source(s):
] (More)

There are no comments.