Posted by Jackie on .
If the interest rate is 3% and a total of $4,370.91 will be paid to you at the end of 3 year, what is the present value of that sum.
business math -
We do not know if it is simple or compound interest. Since compounding frequency is not mentioned, we assume it is simple interest.
The simple interest formula:
Future value = present value(1+ni)
n=number of years,