Students will learn how to describe, and be able to calculate, simple and compound interest for an investment or a payment. They will begin to understand the cost of borrowing money on interest.
- Explain simple interest
- Use simple interest to calculate loan payments
- Use simple interest to calculate the value of investments
- Explain compound interest
- Use compound interest to calculate total cost of a loan
- Use compound interest to calculate the value of investments
Math skills being utilized
- Critical thinking
- Comparing numbers
- Adding and subtracting decimals
Ideas for teaching
- Teach how to calculate interest on Excel setting up monthly payment options.
- Show how by paying extra the debt decreases so quickly.
- Teach ways to save money and having interest work for you rather than borrow money.
Course Pacing Guide