Find the present value of $3,000.00 if interest is 6% compounded quarterly for 5 years

A = P (1 + r/n)^(nt)

Since we're asked to find the "present value", the $3000 must be the "future value" in 5 years. I.e., A = $3000, P = "present value", r = 0.06, n = 4, t = 5.

Substitute into the formula:

3000 = P (1 + 0.06/4)^(4*5)

Solve for P:

P = (3000)/((1.015)^20) ≈ $2,227.41

Calculators may behave differently, but here are the keystrokes on the Mac OS X calculator in Scientific mode:

3000 [÷] 1.015 [y^x] 20 [=]