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Calculating rate of return

Updated

Students calculate different investments’ rate of return to measure their performance and then answer questions about investing.

Big idea

Rate of return is a common way to measure and compare the growth of investments.

Essential questions

  • What is rate of return?
  • How does rate of return help you determine how well investments have performed?

Objectives

  • Understand how rate of return helps measure investments’ performance
  • Use a simple rate of return formula to calculate investments’ gains or losses

What students will do

  • Calculate the rate of return for different investments.
  • Share their thoughts on topics related to investing.

Download activity

Teacher guide

cfpb_building_block_activities_calculating-rate-return_guide.pdf

Student materials

cfpb_building_block_activities_calculating-rate-return_worksheet.pdf

Note: Please remember to consider your students’ accommodations and special needs to ensure that all students are able to participate in a meaningful way.

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