Build and evaluate exponential growth and decay models of the form y = a(1 + r)^t and y = a(1 - r)^t.
A quantity that grows by the same PERCENT every period follows y = a(1 + r)^t: a is the starting amount, r is the growth rate written as a decimal, and t counts how many periods have passed. Each period multiplies the current amount by the growth factor (1 + r) - that one multiplication, repeated, is the entire model.
Decay works the same way with a factor below 1: y = a(1 - r)^t, since losing r of the amount each period leaves (1 - r) of it behind. Investments, populations, and viral spread are classic growth; car depreciation, medicine leaving the bloodstream, and radioactive decay are classic decay. The single most important habit: r is a rate (like 0.05 for 5%), never the whole factor - the factor is 1 + r or 1 - r.
Mastery looks like: They can build y = a(1ยฑr)^t from a percent-change story and evaluate it correctly at a given t, keeping r as a decimal throughout.
Common stumbles: Using r itself as the base instead of 1ยฑr (e.g., using 0.05 instead of 1.05); rounding in the middle of a multi-step calculation.