Module 1 · Mathematical Language and Quantitative Reasoning Lesson 9 of 120

Units, Dimensions, Scale, and Normalization

Cents, currencies, and rates in the same pipeline.

2:43 clip29:03–31:47 in the full courseWatch on YouTube

Transcript

23 sentences · select one to jump there

Check your understanding

Does multiplying all prices by 100 change a simple return?

Choose one answer

Code lab

Run it yourself

The lesson source in 7 languages. Edit it, run TypeScript and Python right here, and compare with the expected output.

009-units-dimensions-scale-and-normalization.ts
Start from GitHub
/**
 * Fintech Math Bootcamp · Lesson 009 of 120
 * Units, Dimensions, Scale, and Normalization
 * Module 01: Mathematical Language and Quantitative Reasoning
 *
 * Scenario: Cents, currencies, and rates in the same pipeline
 * Rule:     10,000 cents ÷ 100 = 100 currency units
 *
 * Try it:   Does multiplying all prices by 100 change a simple return?
 *
 * Lesson article: https://thefintechbuilder.com/financial-mathematics-statistics-and-data-foundations/mathematical-language-and-quantitative-reasoning/units-dimensions-scale-and-normalization/
 * Free course:    https://courses.thefintechbuilder.com
 * Synthetic teaching example, not financial advice or a production library.
 */

export function lesson009() {
  const cents = 10000;
  const units = cents / 100;
  const ratePerYear = 0.05;
  const years = 2;
  const interest = units * ratePerYear * years;
  const result = {units, interest};
  return result;
}

export const checkedResult = {"units":100,"interest":10};

// Run this file directly: npx tsx lessons/01-mathematical-language-and-quantitative-reasoning/009-units-dimensions-scale-and-normalization.ts
if (process.argv[1] && import.meta.url.endsWith(process.argv[1].replace(/\\/g, "/").split("/").pop()!)) {
  console.log(JSON.stringify(lesson009(), null, 2));
}

Your output

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Expected output

{
  "units": 100,
  "interest": 10
}

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Lesson notes

The rule

10,000 cents ÷ 100 = 100 currency units