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My cousins little girl's name is Penni (just Penni). I think it is adorable. I don't remember her MN. Penelope is cute too. Either way, short or long, works, IMO.
It is also kind of cute, because my son's name is Lennon. We have a bit of a Beatles theme going on in my family ;)

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Penny Rae
Penny Marie
Penny Lucille
Penny Jane
Penny Lane (I know it is obvious... but it is cute)

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Penelope Anne
Penelope Sage
Penelope Renee
Penelope Roxanne
Penelope Margaret

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