Question

What is the principal balance if the principal plus interest at the end of 1.5 years is $3,360 at an annual interest rate of 8%?

Answer 1

\[A=P(1+i)^n\]
\[P=A/(1+i)^n\]
\[P=A(1+i)^{-n}\]
\[P=3360(1+0.08)^{-1,5}\]