Make Math Moments Academy › Forums › MiniCourse Reflections › The Concept Holding Your Students Back › Lesson 2 – Absolute Thinking vs. Relative Thinking – Discussion › Reply To: Lesson 2 – Absolute Thinking vs. Relative Thinking – Discussion

Hi there! I just watched lesson 2 and I love the “would you rather”. I’m definitely borrowing that from! However, I have a question: you state in the video that scenario 1 where you invest $100 and it grows to $400 is a 400% rate of return. Since the $100 is the principal, isn’t this only a 300% rate of return? I don’t use that language when I teach this math, but I would certainly have said that the $400 represents a 300% increase from the original $100 (which is equivalent to saying that the $400 is 400% of the original $100). Do you disagree with that?