In my textbook, the time dilation equation is presented as $\Delta t' = \gamma \Delta t,$ where $ \gamma = 1/ \sqrt{1 - v^2/c^2} $. My understanding of this equation is as follows (correct me if I'm wrong): An observer is moving in a system $K'$ relative to a clock placed in a stationary system $K$. For every $\Delta t$ seconds that pass in the $K$ system, the moving observer in $K'$ only measures a passage of $\Delta t'$ seconds. Is that a correct interpretation?
A few pages later my textbooks states the following:
The proper time $\Delta t'$ measured on a clock in the $K'$ system is related to the time $\Delta t$ measured on a clock fixed in the $K$ system by $\Delta t' = \frac{\Delta t}{\gamma}$. The clock moving in the $K'$ system measures the proper time because it is present at both events.
I don't exactly understand what that second equation means. What does it tell us about the passage of time in the two systems? It almost seems like it is saying the opposite of what the first equation states. Any help is greatly appreciated.