Grade Level 6-8. Standards and Expectations...2. How Do You Get Money?...6. How Do You Make Your Money Grow?...9. Where Does Your Money Go?...

Transcription

1 Grade Level 6-8 Standards and Expectations...2 How Do You Get Money?...6 How Do You Make Your Money Grow?...9 Where Does Your Money Go?...15 What Is the Cost of Cool?...23 The materials and scenarios throughout this program are provided for educational and illustrative purposes only; individual circumstances may vary. GRADE LEVEL 6-8 GRADE LEVEL 6-8 GRADE LEVEL 6-8 GRADE LEVEL 6-8 GRADE LEVEL 6-8 GRADE LEVEL 6-8 GRADE LEVEL 6-8 GRADE LEVEL 6-8 GRADE LEVEL 6-8 GRADE LEVEL 6-8 GRADE LEVEL 6-8 GRADE LEVEL 6-8 GRADE LEVEL 6-8 GRADE LEVEL 6-8 GRADE LEVEL 6-8 GRADE LEVEL 6-8 GRADE LEVEL 6-8 GRADE LEVEL 6-8 GRADE LEVEL 6-8 GRADE LEVEL 6-8 GRADE LEVEL 6-8 GRADE LEVEL 6-8 GRADE LEVEL 6-8 GRADE LEVEL 6-8 GRADE LEVEL 6-8 GRADE LEVEL 6-8 GRADE LEVEL 6-8GRADE LEVEL 6-8GRADE LEVEL 6-8GRADE LEVEL 6-8GRADE LEV

2 standards and expectations The sets of standards and expectations referenced are from the following sources: Social Studies: These standards come from the Ontario Ministry of Education s Curriculum the Western Canadian Protocol for Collaboration in Basic Education, and the Foundation for the Atlantic Canada Social Studies Curriculum. A heading refers to a thematic strand, and a bullet point refers to the performance expectations of students. Economics: These standards come from the Canadian Foundation for Economic Education. A heading refers to a thematic strand, and a bullet point refers to the performance expectations of students. Math: These standards come from the Ontario Ministry of Education and the National Council of Teachers of Mathematics. A heading refers either to a mathematical content area or to a broad area of mathematical skill. Points under a heading reference specific areas of knowledge or skills within the content area or the broad skill. Language Arts: These standards come from the standards endorsed by the International Reading Association, the Ontario Ministry of Education, and the National Council of Teachers of English. GRADE LEVEL 6-8

3 STANDARDS and expectations Social Studies ACTIVITIES Self Awareness and Reliance/Identity 6-K-I-005. Describe ways in which social factors influence who students are and how they express their identities, e.g., gender, physical characteristics, socio-economic situation, media 6-K-I-006. Demonstrate awareness that identity has an emotional dimension 7-V-I-004. Affirm their personal identities in their interactions with others Work independently and cooperatively to accomplish goals Individuals, Societies, and Economic Decisions How Do You Get Money? How Do You Make Your Money Grow? Where Does Your Money Go? What Is the Cost of Cool? Analyze the personal, social, and economic implications of paid and unpaid labor ECONOMICS ACTIVITIES Consumer Decision-Making How Do You Get Money? How Do You Make Your Money Grow? Where Does Your Money Go? What Is the Cost of Cool? Distinguish the difference between an economic need and a want Summarize forces and factors influencing a consumer s perceptions of needs and wants (e.g., advertising, movies, friends) Compare a number of not-for-profit business opportunities that exist due to community needs, wants, and problems Provide examples of how the economic choices people make today can have both present and future consequences GRADE LEVEL 6-8

4 STANDARDS and expectations ECONOMICS Understanding the World of Work and Business Demonstrate how the interaction between the supply of, and the demand for, a good or service, will affect the market price Demonstrate how, as the supply of a good or service tends to rise in a market, the market price for that good or service will tend to fall, depending on what happens to people's willingness to buy the good or service Explain why people voluntarily exchange goods and services (i.e., they expect to be better off after the exchange) ACTIVITIES MATH ACTIVITIES Number Sense and Numeration 2m8. Read, represent, compare, and order whole numbers to 100, and use concrete materials to investigate fractions and money amounts 2m10. Solve problems involving the addition and subtraction of one- and two- digit whole numbers, using a variety of strategies, and investigate multiplication and division Patterning and Algebra 5m61. Determine relationships in growing and shrinking patterns, and investigate repeating patterns involving translations 5m62. Demonstrate an understanding of the use of variables in equations Data Management & Probability 2m73. Collect and organize categorical or discrete primary data and display the data 2m75. Describe probability in everyday situations and simple games How Do You Get Money? How Do You Make Your Money Grow? Where Does Your Money Go? What Is the Cost of Cool? GRADE LEVEL 6-8

5 STANDARDS and expectations MATH ACTIVITIES Problem Solving 2m1. Apply developing problem-solving strategies as they pose and solve problems and conduct investigations, to help deepen their mathematical understanding 2m4. Select and use a variety of concrete, visual, and electronic learning tools and appropriate computational strategies to investigate mathematical ideas and to solve problems language arts 2e22. Read and demonstrate an understanding of a variety of literary, graphic, and informational texts, using a range of strategies to construct meaning 6e30. Making Inferences/Interpreting Texts. Develop interpretations about texts using stated and implied ideas to support their interpretations How Do You Get Money? ACTIVITIES How Do You Make Your Money Grow? Where Does Your Money Go? What Is the Cost of Cool? GRADE LEVEL 6-8

6 How do you Get money? TOPIC Making Responsible Choices SUBJECT AREA Social Studies RELATED SUBJECT AREAS Economics LESSON OBJECTIVES Students will: Brainstorm ways to get money Discuss responsible ways of earning money Important Terms income, responsibility Interactive Extension Students review six scenarios that include ethical and nonethical ways to get money. The following is the Web address for the interactive activity that complements this lesson: Estimated Time Requirement minutes Materials Needed Chart paper and marking pen or chalkboard and chalk Handout 1: Scenario Cards worksheet, one per small group Writing paper, one sheet per small group and another one per student teens.htm and click on How Do You Get Money? HOW DO YOU GET MONEY? 6

7 How do you Get money? Introduction Students of this age are faced with a difficult dilemma. They have financial needs and wants with limited ways of obtaining money. Peer pressure, need for immediate gratification, and being too young to hold most jobs makes it difficult for students to acquire money responsibly. In this lesson, students will discuss and respond to situations they may be faced with and responsible ways to solve them. Teaching Strategies and Learning Activities Throughout the lesson, emphasize the Important Terms. Review Important Terms with students. Ask, How can you get money when you need it? Record students answers on chart paper or chalkboard. As a class, discuss whether these are responsible ways to get money. Divide class into small groups of 3 to 4. Distribute Scenario Cards worksheet to each group. Instruct students to read and discuss the scenarios on the worksheet. Tell students to decide whether the scenario describes a responsible way of earning money (or making an income) or not. On the back of the worksheet, have students write a summary of why they decided the scenario is responsible or not. TIP: Encourage participants to discuss their feelings but do not require that participants voice personal opinions. Distribute a sheet of paper to each group. Have students work together to write two scenarios with either responsible or irresponsible ways to get money. Once all groups are finished, have students exchange their papers with another group. On the back of the paper, have students write a summary of why they decided the scenario is responsible or not. As a class, discuss all the scenarios and students summaries. Review the Important Terms. Evaluation Have students choose one of the irresponsible scenarios from the worksheet and then personalize it by writing a letter and offering advice to a friend who is contemplating the same choice. HOW DO YOU GET MONEY?

8 HANDOUT 1: SCENARIO CARDS 1) Jane needs a birthday gift for a friend s party. She has no money. When she is at Zellers with her mom, she notices some pretty colored nail polish. No one is around her. She takes one bottle and slips it into her pocket. She thinks it s no big deal because it costs only $ ) Joey wants to go to the movies with his friends. He has no money. He sneaks in an exit-only door when some other people are leaving and meets his friends inside. 3) Maria wants a new dress for the school dance. She has no money. She places a 3 X 5 index card on the local daycare s bulletin board offering babysitting services. 4) Keisha wants the new music CD that is popular. She has no money. She notices that her friend Carla has it in her collection. Carla lets Keisha borrow the CD. Keisha makes a copy of the CD and then returns the original to her friend. 5) Bob needs to pay his athletic fee. He has no money. He has a collection of cards that are popular at school. He takes some of his cards to school and sells them to other students for more than they are valued. 6) Cecilia wants a stereo. She has no money. She applies for a job with the local newspaper delivering the daily paper. 7) Tim wants a video game. He has no money. His mom s purse is open on the counter. He takes the money he needs. 8) Darryl wants to go to basketball camp this summer. He has no money saved. He uses a computer to create flyers offering lawn service. He leaves the flyers on the neighbours doors on his street. HOW DO YOU GET MONEY? 8

9 How do you make your Money grow? TOPIC Ways to Save and Invest Money SUBJECT AREA Math RELATED SUBJECT AREAS Economics LESSON OBJECTIVES Students will: Compare and contrast investment vehicles including savings accounts, GICs, savings bonds, stocks, and mutual funds Calculate values of the invested money through several investment vehicles Explore how they can reach a short-term or long-term goal using savings and investment strategies Important Terms short-term goals, long-term goals, savings bond, compound interest, guaranteed investment certificate (GIC), stocks, mutual funds, saving, investing, risk, return Interactive Extension Students learn that saving and investing are the two ways to make money grow. Students also learn important differences between saving and investing. In addition, students learn about short-term and long-term goals. The following is the Web address for the interactive activity that complements this lesson: teens.htm and click on How Do You Make Your Money Grow? Another excellent resource that explores investing and allows students to build a virtual investment portfolio can be found on Smith Barney s website, Young Investor s Network: Estimated Time Requirement minutes You may wish to teach this lesson over the course of two class periods. Part One: Introduce lesson, discuss overview of goals, savings, and investment vehicles. Part Two: Work with stock pages and conduct evaluation. Materials Needed Chart paper and marking pen or chalkboard and chalk Handout 1: How Your Money Can Grow, one per student Newspapers, one per student Newspaper stock pages for a week, one set per pair Overhead 1 Writing paper, one sheet per student HOW DO YOU MAKE YOUR MONEY GROW?

10 How do you make your Money grow? Introduction Along with managing money, students also need to set realistic short-term and long-term goals and learn to plan carefully for meeting these goals. In this lesson, students will explore types of investments and compare them with each other. Teaching Strategies and Learning Activities Throughout the lesson, emphasize the Important Terms. As a class, discuss the differences between short-term and long-term goals. On chart paper or chalkboard, create a T-chart with column headings Short-term Goals and Long-term Goals. Ask students to share some of their goals that require money to achieve. Have students determine which column each goal belongs in and write it in that column. TIP: Remind students to respect the plans and goals of others as students share their goals with the class. As a class, discuss the differences between saving and investing. Saving is a short-term money management strategy that has safety precautions since the money is usually held in an insured account. Investing is a longterm money management strategy that has risk factors since it is usually not insured and the value can fluctuate. Ask, What are some ways you can save money? Record students answers on chart paper or chalkboard. Ask students, What are some ways you can invest your savings? Explain to students that investing in different ways can help money grow, especially over a period of time. On chart paper or chalkboard, copy the following chart. Savings Accounts MOST POPULAR SAVING AND INVESTMENT VEHICLES Guaranteed Investment Certificates (GICs) Canada Savings Bonds (bonds issued by the Canadian government to help pay its expenses) Advantages (+) Disadvantages ( ) usually no minimum amount higher rate than savings account guaranteed by federal government; minimum purchase of $100; higher rate than savings account lower rate than others minimum deposit required, often $500 to $2,500 many years to reach face value HOW DO YOU MAKE YOUR MONEY GROW? 10

11 How do you make your Money grow? Stocks (shares owned in a company) Mutual Funds (financial organizations that invest the money of its members into a variety of stocks and bonds) earn money when price of stock rises money is diversified so it is protected from individual stock price changes lose money when price of stock drops minimum investments are required and vary from fund to fund As a class, discuss the advantages and disadvantages of each. Distribute Handout 1: How Your Money Can Grow to each student. Provide students with various savings amounts and have them practice calculating interest earnings. Explain to students how to read the table. (Multiply savings amount by factor from table. Find the factor by using an interest rate and number of years in savings.) Have students research interest rates online ( or in newspaper ads for different investment vehicles. Have student create a chart to organize their information. Have students share their findings. To enhance the lesson, invite a guest speaker from a local investment company or brokerage firm to discuss basic investment vehicles such as stocks and mutual funds. Discuss the risk and return (reward) of different types of mutual funds. On chart paper or chalkboard, create a three-column chart. Include the following information in the chart. Money Market Funds Bond Funds Stock Funds Risk Return Risk Return Risk Return Divide students into pairs. Distribute stock pages from the newspaper to each pair. As a class, instruct students how to read them. Display Overhead 1 and use as a guide to the instruction. Have students review the pages, choose a stock, analyze the performance of their selected stock, and then record this information in a chart. Have students track their stock for an additional week or two. As a class, have students discuss their findings. Based on previous performance, have students discuss the risk associated with investing in that particular stock. For additional information, visit www. publicdebt.treas.gov, and HOW DO YOU MAKE YOUR MONEY GROW? 11

12 How do you make your Money grow? Review the Important Terms. Evaluation Have students create a flowchart for earning, spending, saving, and investing money to reach their personal short-term and long-term goals. HOW DO YOU MAKE YOUR MONEY GROW? 12

13 Handout 1: How YOUR MONEY CAN GROW Compound Interest Table Years 1% 3% 5% 6% 8% 1 $ $ $ $ $ HOW DO YOU MAKE YOUR MONEY GROW? 13

14 OVERHEAD 1: How TO read the stock pages 52 Week High/Low These figures show the highest and lowest prices the stock has sold for in the past 52 weeks (one year). This indicates the fluctuation in price over the past year. The higher the fluctuation, the more money you could make or lose in a relatively short period of time. Stock The names of the corporations are abbreviated and listed in alphabetical order. Ticker Symbol (Sym.) This is the trading symbol for the stock. Year-to-Date, Exchange (YTD, Exch) This is the year-to-date percent change in price and the exchange the stock trades on. Volume (Vol.) This represents the number of shares traded the previous day in 100- share lots. Multiply by 100 to determine the actual number of shares that were traded. Close This is the price the stock sold for at the close of trading the previous day. Change (Chg.) This number represents the fluctuation in price during the previous trading day. A negative number means that the stock closed for a lower price than the day before. A positive number means that the stock closed for a higher price than the day before. HOW DO YOU MAKE YOUR MONEY GROW? 14

15 Where does YOUR money go? TOPIC Budgeting and Keeping Track of Expenses SUBJECT AREA Math RELATED SUBJECT AREAS Economics, Social Studies LESSON OBJECTIVES Students will: Practice recording, evaluating, and balancing a budget Practice recording expenses on a cash record Important Terms needs, wants, budget, balanced budget, income, expenses, cash record Interactive Extension Students learn the purpose of tracking expenses and analyze a sample budget. The following is the Web address for the interactive activity that complements this lesson: teens.htm and click on Where Does Your Money Go? Estimated Time Requirement minutes You may wish to teach this lesson over the course of two class periods: Part One: Introduce lesson and work with Ann s budget. Part Two: Work with Sue s budget and conduct evaluation. Materials Needed Overhead 1 Handout 1 worksheets, one per pair Handout 2 worksheets, one per pair Handout 3 worksheets, one per pair Handout 4 worksheets, one per pair Calculators, one per student pair (optional) WHERE DOES YOUR MONEY GO? 15

16 Where does YOUR money go? Introduction Budgets can help students achieve their own goals. In this lesson, students will explore the concept of making and balancing a budget and learning to keep track of expenses. Teaching Strategies and Learning Activities Throughout the lesson, emphasize the Important Terms. Ask, What are some ways people can keep track of their money? Elicit students responses to include writing down income and expenses on paper or keeping a record on the computer. Explain the importance of planning a budget and that the goal of a balanced budget is to have the total spent be less than the money earned. Remind students the differences between needs and wants. Show students Overhead 1. Ask, What s wrong with Ann s budget? (A person cannot spend more than he/she earns.) Does Ann list her most important expenses first? (needs some expenses cannot be changed) What can Ann do to balance her budget? ( want areas can be reduced) Divide the class into pairs. Distribute the Handout 1 worksheet, the Handout 2 worksheet, and calculators to each pair. Have pairs review Sue s Estimated Income and Expenses (Handout 2) and record this information onto the Budget Record Form (Handout 1). Remind students to list needs and wants in order of importance. Then tell students to calculate the total estimated income and total estimated expenses. As a class, discuss results and observations. Explain that a budget is just an estimate of income and expenses. A cash record can help keep track of actual expenses and help a person to follow a budget plan. Distribute the Handout 3 and Handout 4 worksheets to students. Explain how to record expenses in chronological order, add for income, subtract for expenses, and keep a running balance. Have students use the information on the Handout 4 worksheet to practice recording income and expenses on the Handout 3 worksheet. As a class, evaluate whether Sue stuck to her budget allotments by totaling items on the cash record for each category. Summarize the purpose of a budget and cash record and how each of them can help students better manage their money. Review the Important Terms. WHERE DOES YOUR MONEY GO? 16

17 Where does YOUR money go? Evaluation Present an additional case study and ask students to make a budget, show expenses and income on a cash record form, and evaluate whether they balance or not. WHERE DOES YOUR MONEY GO? 17

18 OVERHEAD 1: WHERE DOES YOUR MONEY GO? SAMPLE BUDGET RECORD FORM Name: Ann Hill Pay Period: June 1 15 Estimated Income: Cash on Hand 8 Estimated Salary/Wages 285 Total Estimated Income 293 Estimated Expenses: New Clothes 50 Entertainment 30 Vacation Fund 30 Lunches 50 Gifts 20 Bus Fare 20 Room and Board 50 Payment for Dental Exam 70 Miscellaneous Expenses 20 Total Estimated Expenses 340 Total Estimated Income Total Estimated Expenses Cash on Hand (End of Budget Period) WHERE DOES YOUR MONEY GO? 18

19 HANDOUT 1: WHERE DOES YOUR MONEY GO? Name: Date: BUDGET RECORD FORM Name: Pay Period: Estimated Income: Cash on Hand Estimated Salary/Wages Total Estimated Income Estimated Expenses: Total Estimated Expenses Total Estimated Income Total Estimated Expenses Cash on Hand (End of Budget Period) WHERE DOES YOUR MONEY GO? 19

20 HANDOUT 2: WHERE DOES YOUR MONEY GO? SUE S ESTIMATED INCOME AND EXPENSES Sue is ready to prepare her budget for the next two weeks. Help her to write her budget plan for the pay period of October Write her figures on the budget record form. Sue will have the following income. Write these figures under estimated cash. Cash on Hand $12.10 Salary $ Total the estimated cash lines and write on the form. List the following estimated expenses on the blank budget form. Be sure to put the important needs first. Savings $25.00 Room and Board $50.00 Lunches $40.00 Bus Fare $35.00 Vacation Fund $25.00 Medical Expenses $25.00 Entertainment $20.00 Gift Fund $10.00 Grooming Needs $10.00 Clothing Fund $20.00 Miscellaneous Expenses $25.00 Write the total of Sue s estimated expenses on the form. Now, subtract Sue s expenses from her total estimated cash. Hopefully, she will have enough money to cover her estimated expenses. WHERE DOES YOUR MONEY GO? 20

21 Handout 3: WHERE DOES YOUR MONEY GO? Name: Date: CASH RECORD A B C D E Date Explanation Cash/Income Expense Balance WHERE DOES YOUR MONEY GO? 21

22 HANDOUT 4: WHERE DOES YOUR MONEY GO? SUE S SAMPLE EXPENSES Date Explanation Amount Oct. 1 Room and Board $50.00 Oct. 2 Lunches $15.00 Oct. 2 Bus Fare $12.50 Oct. 3 Savings $25.00 Oct. 5 Dentist $20.00 Oct. 5 Movie and a Snack $14.60 Oct. 6 Cosmetics $11.24 Oct. 8 Concert $10.25 Oct. 9 Lunches $15.00 Oct. 9 Music Downloads $12.00 Oct. 10 Dinner $6.25 Oct. 11 Medicine $5.00 Oct. 13 Bus Fare $12.50 Oct. 13 Bought a Blouse $21.90 Oct. 14 Hair Brush $8.76 Oct. 15 Bought a New Book $4.50 WHERE DOES YOUR MONEY GO? 22

23 What is The cost of cool? TOPIC Making Responsible Choices SUBJECT AREA Math RELATED SUBJECT AREAS Social Studies, Economics LESSON OBJECTIVES Students will: Discuss media promotions, such as billboards, newspapers, TV, radio, magazines, labels on clothes, and so on. Identify where media promotions are and to whom they are aimed Comparison shop to find out the cost of cool Learn how to be a smart consumer Important Terms advertisement, branding, generic brand, name brand, comparison shopping, opportunity cost Interactive Extension Students practice shopping for clothing on a $200 budget. The following is the Web address for the interactive activity that complements this lesson: teens.htm and click on What is the Cost of Cool? WHAT IS THE COST OF COOL? 23 Estimated Time Requirement minutes Materials Needed Catalogs from a variety of department and discount stores ranging from The Bay or Roots to Walmart or Zellers OR Web addresses for a variety of department and discount stores ranging from The Bay or Roots to Walmart or Zellers for students to search and comparison shop: (American Eagle Outfitters) com (French Connection) (The Bay, Zellers, etc.) (Continued on next page)

24 WHAT IS The cost of cool? Introduction Students need to be aware of the cost impact for buying name brand items versus generic brand items in order to make informed spending decisions. In this lesson, students will develop an understanding of the price they pay to look cool. Teaching Strategies and Learning Activities Throughout the lesson, emphasize the Important Terms. Ask, What brand of jeans or pants are you wearing? What made you buy that brand? Ask, Where do you find advertisements for your favorite brands? What do you think the purpose of advertising is? (Continued from previous page) Writing paper, one sheet per pair, another sheet per student Poster boards, one per small group Explain to students the difference between branding and advertising. Divide the class into pairs. Have students use the catalogs, websites, or printouts from websites, and comparison shop for three items, such as jeans, tennis shoes, and backpacks. Instruct students to research prices from at least four stores, finding items that range in price from cheap to expensive as well as popular name brands and generic brands. Have students create a table to record their findings. Have students calculate the difference between the lowest priced item and the highest priced similar item, and record this number on their chart. TIP: Remind students that the focus of the activity is to compare values of similar items by comparison shopping. Whether or not students like the selection of items is irrelevant to the purpose of the activity. Have students find the average price for the items (add up all the prices, low to high, then divide by the number of items) and record those numbers on their chart. Have students find the medium priced item (list the items in rank order of price, low to high, then find the item that falls exactly in the middle) and record it on their chart. As a class, discuss the pros and cons of buying name brands versus generic brands. Ask, Why do you think the cost of name brand items is more expensive than a similar item in a generic brand? (to pay for the commercials, billboards, and so on to make the name brand one that is recognized by consumers) Who ultimately pays for that marketing and advertising to get the message to the public? (consumers) Review the impact of advertising on buying habits. As a class, discuss the concept of opportunity cost, that is, giving up the freedom to buy one thing in order to buy something else. Have students explain what else they might have bought with the money they saved by WHAT IS THE COST OF COOL? 24

25 WHAT IS The cost of cool? buying the less expensive or generic brand jeans. On the chalkboard, write the question: Is the opportunity cost worth the cost of cool? Divide the class into two groups. Have the groups debate whether or not it is worth the opportunity cost to wear expensive or brand name jeans. Divide the class into small groups. Distribute poster boards to each group. Have students create a poster entitled Smart Shopping Tips. Hang posters in the classroom. Review the Important Terms. Evaluation Have students write a paragraph about their findings and the cost of cool. WHAT IS THE COST OF COOL? 25