Appendix E – Sample Activities for Each of the Content Standards
109
Appendix E
Sample Activities for Each of Wisconsin’s
Model Academic Standards for Personal Financial
Literacy
Standard A – Relating Income and Education
Education: Weigh Your Options – Printed with permission from the National
Center for Economic Education
Instructions. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 111
Handouts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .114
Weighted Decision Grid . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .114
Choosing the Right School for You . . . . . . . . . . . . . . . . . . . . . . . . .115
Standard B – Money Management
Understanding the Concept of Borrowing Money – Printed with permission
from CAERT, Inc.
Instructions. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .116
Overheads. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .119
Characteristics of a Good Borrower. . . . . . . . . . . . . . . . . . . . . . . . .119
Characteristics of a Good Lender. . . . . . . . . . . . . . . . . . . . . . . . . . .120
Steps in Establishing a Good Credit Rating . . . . . . . . . . . . . . . . . . .121
Lab Worksheets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .122
Comparing Credit Applications . . . . . . . . . . . . . . . . . . . . . . . . . . . .122
Calculating Interest Charges. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .123
Standard C – Credit and Debt Management
Credit for Beginners – Printed with permission from the National Center for
Economic Education
Instructions. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .124
Standard D – Planning, Saving, and Investing
The Secret to Becoming a Millionaire – Printed with permission from Money
Math: Lessons for Life – University of Missouri
Instructions. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .127
Handouts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .131
It’s Never Too Late (Activity 1-1) . . . . . . . . . . . . . . . . . . . . . . . . . .131
Uncle Mort Makes It Better (Activity 1-2). . . . . . . . . . . . . . . . . . . .132
The Miracle of Compounding (Activity 1-3) . . . . . . . . . . . . . . . . . .133
E
110
Appendix E – Sample Activities for Each of the Content Standards
Standard E – Becoming a Critical Consumer
Online Shopping – Printed with permission from Family Economics and
Financial Education from Take Charge America
Instructions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .134
Handouts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .141
Online Shopping Survey. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .141
Note-Taking Worksheet . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .143
Online Shopping Safety Tips . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .144
Game Pieces . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .145
Answer Sheet – Suggested Answers for Scenarios . . . . . . . . . . . . . . .147
Standard F – Community and Financial
Responsibility
Phil’s Community Connections – Printed with permission from
Learning to Give
Instructions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .149
Standard G – Risk Management
I Can Be an Entrepreneur – Printed with permission from the National
Center for Economic Education
Instructions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .152
Handouts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .156
EarningaProt . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .156
Jobs I Can Do to Earn Money. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .157
Appendix E – Sample Activities for Each of the Content Standards
111
Standard A–Relating Income and Education
Education: Weigh Your Options
Grades 9-12
Key Economic Concepts
•Choice
•Cost/benefitanalysis
•Decisionmaking
•Opportunitycost
•Trade-offs
Description
Getting and keeping a job often requires special education or training. While an employer may provide or pay
for some additional education or training, workers often have to obtain it on their own. In this lesson, students
use a weighted decision-making grid to choose a school that provides education or training for their chosen
field of employment. Students use both financial and non-financial criteria in weighting their alternatives. If
the teacher desires, the decision grid can be created by means of a computer spreadsheet. Students discover
that major decisions like this one often involve trade-offs—getting less of one thing in exchange for more of
something else. A weighted decision-making process can help them make the choice that best fits their interests
and circumstances.
Lesson Objectives
Students will
•Useaweighteddecision-makingmodeltoevaluatealternativesforpost-secondaryeducation.
•Identifytrade-offsmadeintheirdecisions.
Introduction
Tell the students there was a time when a person was hired for a job, and he or she then could count on the em-
ployer to provide training on the job. Today, more and more employers expect workers to have education and
training beyond a high school diploma before hiring them. And learning doesn’t end once a person is hired; it
will continue throughout a person’s life in response to changes in the work world. While an employer may pro-
vide or at least pay for some of the education and training needed, workers often have to obtain some additional
education on their own. Chances are students will have to invest their own time, money, and effort to continue
their education throughout their lifetimes.
Explain that the students are going to explore their options for getting additional education or training after
high school. For some, this will mean enrollment in a college degree program; others may want to explore a
vocational or technical program. If some of your students are considering the military after high school, they
also can use the decision process you’ll introduce here. They should include various branches of the military
among their alternatives.
112
Appendix E – Sample Activities for Each of the Content Standards
Process
Introduce the students to the five-step decision-making process that uses a weighted grid to help them make a
major choice—selecting an education or training program after high school. It is assumed students have already
invested some time thinking about their post high school employment interests.
STEP 1–State the Problem
• Encouragethestudentstobeasspecificaspossibleinidentifyingthetypeofschoolandlearningprogram
that is right for them.
• DirectthestudentstostatetheirproblematthetopofonecopyoftheWeightedDecisionGrid,page110.
STEP 2–Define and Weigh the Criteria
Explain that choosing a school can involve many criteria. Criteria are standards people consider in making a dei-
sion. Some of the most common ones people consider are provided on the checklist at the end of this lesson.
After they review the checklist, the students should consider and respond to the following:
A. Which of the criteria on the list are important to you? List them in the criteria column on the left-hand
side of your decision grid.
B. Are there other criteria not on the list that are important to you? List them in the criteria column as well.
C. Some criteria will be more important to you than others. Establish the importance of each criterion by
using a weight of 1-10, with 10 being the most important and 1 the least important. Record these numbers
in the weight column.
STEP 3–Identify the Alternatives
In this step, the students identify at least two specific schools and programs as alternatives for solving their
problem. If time allows, you may want them to increase the number of alternatives to three or four. In real life,
there are frequently more than two options.
The students write the school or program names in the boxes marked “Alternative” on their decision grids.
They will need extra copies of the grid if they have more than two alternatives. Ideally, the students should write
their criteria on one grid and make copies of this page. This reduces their time on task and the chance of making
an error in transferring information to other pages.
STEP 4–Evaluate the Alternatives
Using the information provided by the schools’ websites, the students evaluate each alternative according to
their criteria, using a scale of 1–10, with 10 fulfilling the criterion completely and 1 not fulfilling it at all.
Give the students specific directions:
A. As you gather information, record your ratings on your decision grid for the appropriate school. Space
is provided for you to note anything extra you want to remember.
B. Once you have completed all your ratings, stop and think for a minute. Are there any additional criteria
that you now wish you would have included? Is there another school that you would like to consider as
an alternative? This is the time to make any additions and do the research.
C. When you are satisfied with the information on your grid, it is time to do the math. Multiply the criteria
weight by the scores and put the results in the “Weighted Score” boxes.
D. Add up your weighted scores for each school and enter them as “Total Weighted Score” at the bottom
of the grid.
•Whichofyouralternativeshadthehighestscore?Thelowestscore?
•Werethescorescloseorfarapart?
•Whichcriteriadidyouralternativesscorewellon?
•Weretherecriteriathatyouralternativesfaredpoorlyon?
Appendix E – Sample Activities for Each of the Content Standards
113
Now look at the data on your grid and consider:
•Whichofyouralternativeshadthehighestscore?Thelowestscore?
•Werethescorescloseorfarapart?
•Whichcriteriadidyouralternativesscorewellon?
•Weretherecriteriathatyouralternativesfaredpoorlyon?
STEP 5–Make a Decision
In the fifth step the students make their decisions, using the information gathered. Here, point out that there
is probably no perfect choice. As with most big decisions, there will be trade-offs–getting a little more of one
thing in exchange for a little less of something else. A student who wanted to go to school in another state may
realize that it is less expensive to stay closer to home. In that case, cost may outweigh the excitement of a new
place. For someone else, the quality of the program may be more important than money. In this case, a benefit
may outweigh a cost.
Assessment Activity
Assessment is based on student completion of the weighted decision-making grid and preparation of short
papers concerning their choices. In the papers, the students should explain their choices and identify trade-offs
they had to make.
114
Appendix E – Sample Activities for Each of the Content Standards
Copyright © National Council on Economic Education
Name:__________________________________________
Problem:
Alternative: Alternative:
Criteria Weight Score
Weight
x
Score
Notes Score
Weight
x
Score
Notes
Total Weighted Score: Total Weighted Score:
Weighted Decision Grid
Appendix E – Sample Activities for Each of the Content Standards
115
Choosing the Right School for You
Just like people, schools have different personalities. You will have the best chance to succeed and graduate if the
school you choose matches your personality and academic goals. Most of the information you will need to deter-
minewhetheryouhaveagoodmatchiscoveredinaschool’scatalogorbrochures.Youcanalsondinformation
on the Internet—many schools have websites. If you know others who attend or attended the school, ask for their
opinion. A school counselor or potential employer may also be able to provide helpful advice.
Curriculum. Does the school offer the program of study and course you want? Do you want to take advantage
of special programs, like study abroad and internships?
Quality. How much contact will you have with your instructors? Will you be taught by persons who have
workedinyoureldofstudy,professorsorgraduatestudents?Howinvolveddoyouwanttobeinresearchand
in learning outside of the classroom?
Admission Requirements. What does the school require for admission? And what are your chances of
being accepted?
Services and Activities. Does the school offer services you need such as special tutoring? Are there social
activities, sports, or other things that you want to be involved in?
Facilities. Are their restaurants and shops near campus? What about computer labs, libraries, and research
facilities? Is transportation provided on and around the campus?
Diversity.Doesthemixtureofstudentsintermsofgender,religiousafliation,andethnicitytyourneeds
and interests?
School and Class Size. How many students are in the classes you will be taking? Will you be on a big cam-
pus with many majors, an impressive library, and lots to do? Or is it a small campus where you know almost
everyone?
Location. Is the school in an urban, suburban, or rural setting? How far is it from home?
Housing. Is there housing or must you live off-campus. What is the condition of housing and how much does
it cost? Are there laundry facilities nearby? Is there a meal plan?
Safety. How safe is the campus and what is being done to protect you from crime? Schools must provide you
with a summary of their annual security reports. The Department of Education posts crime statistics for many
schoolsonlineathttp://ope.ed.gov/security.
Cost. How much will tuition and books costs? Will you need any special equipment or clothing? Are there
extra fees such as for using laboratories and recreational facilities?
Financial aid.Whatnancialaidisoffered?Arethereopportunitiestoworkonornearcampus.Whathours
will you work and how much will you be paid?
Completion rates. What proportion of students graduate? Is there a large number of students who transfer to
another school? Schools must give this information to you.
Loan defaults. What percentage of students who took out federal student loans later failed to repay their
loans? You might not be able to get federal aid for a school that has a high default rate.
Refund policies. What are the school’s refund policies? If you enroll but never begin classes, you should get
most of your money back. If you begin attending classes but leave before completing your coursework, you may
be able to get part of your money back.
Job placement. Doestheschoolhelpyoundajobaftergraduation?Whatpercentageofrecentgraduates
has been placed in jobs relevant to their course of study?
Copyright © National Council on Economic Education
116
Appendix E – Sample Activities for Each of the Content Standards
Standard B–Money Management
Understanding the Concept of Borrowing Money
Appropriate for grades 6-12
Learning Goal
Understand economic systems, with an emphasis on the United States.
Learning Standard
Understand that scarcity necessitates choices by consumers.
Learning Benchmark
Explain the costs and benefits of making consumer purchases through differing means (e.g., credit, cash).
Workplace Skills
Evaluate options. Understand how to make decisions.
Student Learning Objectives
Instruction in this lesson should result in students achieving the following objectives:
1. Understand what a lender looks for in a borrower.
2. Understand good characteristics of a lender.
3. Understand the concept of establishing credit.
4. Calculate the cost of credit.
Terms
The following terms are presented in this lesson (shown in bold italics):
Add-on interest
Collateral
Credit rating
Interest in advance
Lender
Percent per month
Simple interest
Interest Approach
Use an interest approach that will prepare the students for the lesson. Teachers often develop approaches for
their unique class and student situations. A possible approach is included here.
Have two students role play.
Appendix E – Sample Activities for Each of the Content Standards
117
Have two students role play. Have one student approach a bank loan officer for an auto loan. After the role
play ask the students for any suggestions of questions that should have been asked. Relate to the students the
objectives for this lesson.
Objective 1–Understand what a lender looks for in a borrower.
Anticipated Problem: What does a lender look for in a borrower?
A lender is an institution or individual who loans money.
A. A borrower must be of good character.
1. Character refers to the reputation of the borrower.
2. Often times lenders will ask for character references.
B. Financial position of the borrower is important.
1. Financial position refers to overall economic position.
2. Lenders will ask for a listing of assets, debts, etc. to determine financial standing.
C. A borrower must prove the capacity to repay the loan.
1. A monthly budget is often viewed.
2. The lender wants to know that there is enough income to cover all of the monthly financial obligations.
D. Security of the loan is another consideration.
1. The lending institution must know that if the loan goes unpaid they will be able to recover their money.
2. Collateral is property that will be taken if repayment is not made.
3. Real estate and vehicles usually act as collateral for home mortgages and car loans.
4. A loan for a vacation may require collateral.
Objective 2–Understand good characteristics of a lender.
Anticipated Problem: What are good characteristics of a lender?
A borrower must feel comfortable with and trust the lender.
A. A lender should be of good character.
1. A question to consider is: “Does this lender have a good reputation in the community?”
B. Lending policies should be examined.
1. Some loans may be sold in the secondary market.
2. Is mortgage insurance required?
3. Are business hours of the institution convenient?
C. Permanence of the lending institution should be considered.
1. How long has the institution been in business?
D. Cost of the loan is another consideration.
1. Institutions vary on the interest they charge.
2. Carrying charges vary by institution.
Objective 3–Understand the concept of establishing credit.
Anticipated Problem: How can I establish good credit?
Lending institutions want proof of the ability and willingness to pay.
A. Steps can be taken to obtain a good credit rating. A credit rating is a measure of an individual’s or business’
ability to pay debt. It is in part determined on the history of the borrower’s payment of debts.
1. Open a checking account to demonstrate the ability to manage money.
2. Open a savings account to show a good record and provide collateral.
118
Appendix E – Sample Activities for Each of the Content Standards
3. Buy an item on a lay away plan to show the willingness to pay.
4. Apply to a department store or gasoline company for a credit card. Make small purchases and pay for
them when the bills come.
B. When difficulties are encountered in paying bills in a timely manner, it is best to contact the lender to
discuss alternative plans for repayment.
Objective 4–Calculate the cost of credit.
Anticipated Problem: What costs are involved with credit?
Credit is not often given without cost.
A. The annual percentage rate (APR) is the interest charged on the loan per year.
B. Simple interest is a method of calculating interest charges on the outstanding balance for the number of
days the money is used.
1. If you borrowed $1,000 for one year at 7% interest, you would expect monthly payments of $89.17,
($1,000 X 1.07 ÷ 12). If you paid the loan off after the first payment, you would pay $916.67
[$1,000 - (1,000 ÷ 12)].
C. With add-on interest, the borrower pays interest on the full amount of the loan for the entire loan period.
Interest is charged on the face amount of the loan at the time it is made, then the principal and interest
are added together and divided equally by the number of payments to be made.
1. If you borrowed $1,000 for two years at 7% interest, you could expect to pay a total of $140 in inter-
est ($1,000 X .07 X 2).
D. Using percent per month, interest is calculated month, by month on the unpaid balance.
1.Thechargemightbe21/2%permonthupto$300,2%upto$500,11/2%upto$1,000,and1%over
$1,000.
E. The interest in advance method means the interest is calculated then subtracted from the principal be-
fore the borrower actually receives it.
1. If a borrower took a one-year loan for $1,000 at 7% interest, she would receive only $930 at the start
of the loan.
Appendix E – Sample Activities for Each of the Content Standards
119
TM: B2B2A
CHARACTERISTICS OF A
GOOD BORROWER
• Character
• Financial position
• Capacity to repay
• Security of the loan
Agribusiness Management Lesson Plan Library
Unit B. Problem Area 2. Lesson 2. Page 9.
120
Appendix E – Sample Activities for Each of the Content Standards
TM: B2B2B
CHARACTERISTICS OF A
GOOD LENDER
• Character
• Fair lending policies
• Permanence of the lending institution
• Cost of the loan
Agribusiness Management Lesson Plan Library
Unit B. Problem Area 2. Lesson 2. Page 10.
Appendix E – Sample Activities for Each of the Content Standards
121
TM: B2B2C
STEPS IN ESTABLISHING A
GOOD CREDIT RATING
• Open a checking account to
demonstrate your ability to manage
money.
• Open a savings account to show a
good record and provide collateral.
• Buy an item on a lay-away plan to
show your willingness to pay.
• Apply to a department store or
gasoline company for a credit card.
Make small purchases and repay in a
timely manner.
Agribusiness Management Lesson Plan Library
Unit B. Problem Area 2. Lesson 2. Page 11.
122
Appendix E – Sample Activities for Each of the Content Standards
LS: B2B2A Name_____________________________________
Lab Sheet
Comparing Credit Applications
Purpose:
1. To show the information requested to obtain credit.
Procedure:
1. Obtain a credit application from a bank, credit union, or for a credit card.
2. Complete the application and bring it to class.
Questions to answer:
1. What are the major categories of information requested?
2. How many references are requested?
3. Why is the institution interested in your monthly rent/mortgage payment?
4. What is the purpose of giving your checking and savings account information?
Agribusiness Management Lesson Plan Library
Unit B. Problem Area 2. Lesson 2. Page 12.
Appendix E – Sample Activities for Each of the Content Standards
123
LS: B2B2B Name_____________________________________
Lab Sheet
Calculating Interest Charges
Purposes:
1. To learn to calculate interest charges.
2. To compare types of interest methods.
Procedure:
1. Using the information below, answer the following questions.
1. You borrowed $10,000 for one year at 8.9% interest and the bank charges simple interest.
How much interest will you pay if you pay the loan off in 3 months?
2. What would your monthly payment be if the loan in #1 is figured using add-on interest
method?
3. How much money would you leave the bank with if the loan is figured using the interest in
advance method?
Agribusiness Management Lesson Plan Library
Unit B. Problem Area 2. Lesson 2. Page 13.
1-4
LS: B2B2B Name_____________________________________
Lab Sheet
Calculating Interest Charges
Purposes:
1. To learn to calculate interest charges.
2. To compare types of interest methods.
Procedure:
1. Using the information below, answer the following questions.
1. You borrowed $10,000 for one year at 8.9% interest and the bank charges simple interest.
How much interest will you pay if you pay the loan off in 3 months?
2. What would your monthly payment be if the loan in #1 is figured using add-on interest
method?
3. How much money would you leave the bank with if the loan is figured using the interest in
advance method?
Agribusiness Management Lesson Plan Library
Unit B. Problem Area 2. Lesson 2. Page 13.
124
Appendix E – Sample Activities for Each of the Content Standards
Standard C–Credit and Debt Management
Credit for Beginners
Grades 9-12
Key Economic Concepts
•Credit
•Decisionmaking
Description
This lesson focuses on teaching students the basics about credit. It explains why credit is important, how to
keep good credit, and several of the terms that are associated with credit.
Lesson Objectives
Students will
•Explaintheimportanceofgoodcredit.
•Defineandusebasictermsassociatedwithcredit.
•Compareandcontrastthefeaturesofdifferenttypesofcreditcards.
Introduction
On radio and television a person can see and hear many advertisements for credit. The forms of credit include
credit cards, home mortgages, car loans, easy-payment plans for furniture and household appliances, among
others. Handling credit is one of the more important financial decisions a consumer faces. In order to make
good decisions about credit, students need to know what credit is and how it can help them. In this lesson, the
students learn why it is important to have a good credit rating; they also learn to define and use some basic
terms associated with credit.
Process
Explain to the students that credit is an arrangement allowing consumers to buy goods and services now and
pay for them later. Credit arrangements depend upon a supplier’s confidence in a buyer’s ability and intention
to pay what he or she owes at some future time. People who buy on credit and pay off their debts promptly
develop what is called a good credit rating. Having a good credit rating or good credit, as it is often called, is
important because it can help people get loans for cars, homes, furniture, and other goods and services. Banks
and lending institutions don’t want to lend money to poor credit risks, that is, to people who might not repay
their loans. They want to be sure they are going to get their money back. To determine how risky a given loan
might be, lending institutions rely on credit bureaus. Have the students visit this website to learn about credit
bureaus:http://www.ckfraud.org/credit.html.
Appendix E – Sample Activities for Each of the Content Standards
125
The site explains the debt-to-income ratio. This ratio compares a person’s income to his or her debts, yield-
ing a percentage figure to show how much of a person’s income will go toward paying debts.
When they view the site, the students should answer the following questions on worksheet one:
1. What is the debt-to-income ratio? (The amount of money a person owes in relation to the amount of
money a person makes. The formula is debt divided by gross earnings.)
2. What are some things that lenders consider in deciding whether or not to approve a loan application? (Un-
paid credit card bills, student loans, car loans, and mortgage or rent payments.)
3. What do the following debt-to-income percentages mean?
a. 10% or less–Credit is in great shape. Loan applicants generally will be approved for low-rate loans.
Will have no trouble getting credit cards.
b. 11%-20%–Won’t have trouble getting loans, but as people approach 20% they probably have too
much debt.
c. 21%-35%–Too much debt. Probably having trouble saving money.
d. 36%-50%–Need to develop a plan to get out of debt.
e. More than 50%–You need help. Make an appointment to see a credit counselor.
It is also important that students understand the importance of good credit. Explain that when payments are
30 days late, the lateness will affect the debtor’s beacon score. This is the score that tells what kind of loan-risk
a person is. The lower the beacon score, the less likely it is that a person will get approved for a loan.
Many students do not have a beacon score because they have no credit. Probably the easiest way to estab-
lish credit would be by obtaining a credit card. Have the students visit the site listed below; it introduces several
terms associated with obtaining and using a credit card.
Before students view this site, explain the benefits of credit and how it can be abused.
http://www.creditcardcritic.com/advice/glossary.htm.
When the students have finished reading this site, they should be able to explain the following terms: APR,
annual fee, finance charge, minimum payment, balance transfer, billing cycle, cash advance, grace period, late
payment fee, classic card, gold card, platinum card, rebate card, secured card and unsecured card. They should
define these terms.
Annual fee
A fee charged to the cardholder by the card issuer. Cardholders pay this fee in order to obtain the credit card in
question.
Finance charge
The amount of interest charged on the account for a particular billing cycle.
Minimum payment
The smallest amount of money that must be paid by the cardholder for the billing cycle.
Balance transfer
Moving a balance from one credit card to another.
Billing cycle
The days between the last statement and the current statement.
APR
The annual percentage rate of the finance charge. This yearly interest rate will be a fixed or variable rate.
Grace period
The time period during which a cardholder may pay off his or her balance without incurring a finance charge.
126
Appendix E – Sample Activities for Each of the Content Standards
Late payment fee
A fee charged to a cardholders for being delinquent with their payments.
Classic card
A credit card that usually comes with a low credit limit. Also known as the basic card.
Gold card
A credit card that offers the cardholder more benefits and a higher credit limit (usually $2,000 to $5,000) than
a classic card.
Platinum card
A credit card typically issued to people with higher incomes. The credit limit is usually more than $5,000.
Rebate card
In using a rebate card, the cardholder earns points or money which may be applied later in the purchase of cer-
tain goods and services.
Secured card
A credit card that is secured by the cardholder’s opening of a savings account with the issuer. It is intended to
help people who are looking to rebuild their credit.
Unsecured cards
Credit cards that are not secured by collateral. Most cards issued are unsecured.
Cash advance
Money the cardholder obtains, by using his or her credit card, from the card issuer.
Conclusion
After discussing the debt-to-income ratio and the terms associated with credit cards, the students should be able
to see that a good credit rating will help them to qualify for loans and other forms of credit. Good credit equals
acceptability among lenders, and that in turn depends on the borrower’s debt-to-income ratio.
Assessment Activity
The students should take the Online Quiz.
OnlineQuiz.http://www.econedlink.org/lessons/index.cfm?lesson=EM326&page=teacher
Printed with permission from the National Council for Economic Education (www.ncee.net)
Appendix E – Sample Activities for Each of the Content Standards
127
Standard D–Planning, Saving, and Investing
1
Money Math 1
1
1
1
1
• 11 1
• 11 1
•
•
1
win the lottery,
win a sweepstakes, inherit a million dollars, earn a high
income
The Secret to Becoming a Millionaire
Grades – 5-8
Lesson
Description
Objectives
1.denesaving,incentive,interest,andopportunitycost.
2. solve problems using interest rate, fractions, decimals, and
percentages.
3. calculate compound interest.
4.explainthebenetsofcompoundinterest.
5. explain the opportunity cost of saving.
6. describe a savings bond investment.
128
Appendix E – Sample Activities for Each of the Content Standards
1
Money Math 1
1
Last week, Mrs. Addle told her students that they could
become millionaires if they followed the rules she
provided them. As a matter of fact, she guaranteed that if
they followed her rules exactly, they would be millionaires
in 47 years! Misha and the rest of her classmates thought
that Mrs. Addle was crazy. If she had rules that would
guarantee that someone could be a millionaire, why was
she teaching seventh-grade math? Why wasn’t she rich
and retired? Why didn’t she follow her own rules? Mrs.
Addle told the students to go home and talk to their
families about what she had said.
Misha went home and told her family what Mrs. Addle
had said. Misha’s mother knew a lot about money and
financial matters. She just smiled at Misha and said that
Mrs. Addle was correct. When Misha returned to class
the next day, Mrs. Addle asked what the students’ families
said. Of the 25 students in Mrs. Addle’s class, 20 students
said that their parents and other family members agreed
with Mrs. Addle. The other five students forgot to ask.
11
1
80%
20%
1
Appendix E – Sample Activities for Each of the Content Standards
129
1
Money Math 1
1
mow lawns, baby-sit, walk
pets, rake leaves, do chores around the house
save it, spend it ,
save some and spend some
to buy things that they
want now, such as movies, food, and clothes
to buy things they want
in the future
11
(1. $360, $720, $1080, $1440, $1800, $2160; 2.
The items they would have purchased each day with $2. This is
their opportunity cost. 3. A + (B x 180) where A = previous
year balance and B = the amount deposited each day; 4. Save
more each day.
Next year, you want to take a family and consumer science
class, a woodworking class, and a photography class. However,
you only have room in your schedule for one of these three.
Which would you choose? What would be your second choice?
save some, and spend some)
(save it, spend it,
share answers. (1. $360, $720, $1080, $1440, $1800, $2160;
2. The items they would have purchased each day with $2. This is
130
Appendix E – Sample Activities for Each of the Content Standards
1
Money Math 1
1
1
1
In the first case, the saver is saving for a longer
period; therefore, Millionaire Rule 1 is to start saving early. In
the second case, the saver is saving $4 per day instead of $2 per
day; therefore, Millionaire Rule 2 is to save more or to save as
much as possible.
Answers will vary
The money is safe in the bank, and the bank pays
interest.
Students may or may not know the
exact definition of interest
1 1 1.
$396, $831.60, $1310.76, $1837.84, $2417.62, $3055.38; 2.
(A+360) + [(A+360) x .10] where A is the previous year’s
ending balance, or, 1.10 (A+360); 3. These amounts are higher
because they earn interest on the deposit and interest on the
interest earned in previous years.
1
$360 x .10 = $36
1
Money Math 1
1
mow lawns, baby-sit, walk
pets, rake leaves, do chores around the house
save it, spend it ,
save some and spend some
to buy things that they
want now, such as movies, food, and clothes
to buy things they want
in the future
11
(1. $360, $720, $1080, $1440, $1800, $2160; 2.
The items they would have purchased each day with $2. This is
their opportunity cost. 3. A + (B x 180) where A = previous
year balance and B = the amount deposited each day; 4. Save
more each day.
a. How many of you have savings accounts in banks?
(Answers will vary.)
b. Whatarethebenetsofplacingyoursavingsinabank?
(The money is safe in the bank, and the bank pays
interest.)
c. What is interest? (Students may or may not know the
exactdenitionofinterest.)
Appendix E – Sample Activities for Each of the Content Standards
131
11
Money Math 1
1
1
1
1
1
11
1
11
Money Math 1
1
1
1
1
1
11
1
132
Appendix E – Sample Activities for Each of the Content Standards
1
Money Math 1
1
1
1
1
1
1
11
1
Money Math (Lesson 1)
© Copyright 2001 by The Curators of the University of Missouri, a public corporation
Reproduction is permitted and encouraged.
Appendix E – Sample Activities for Each of the Content Standards
133
1
Money Math 1
1
1
1
• 1
•
•
1
1
1
Money Math 1
1
1
1
• 1
•
•
1
1
134
Appendix E – Sample Activities for Each of the Content Standards
1.3.2
© Family Economics & Financial Education – September 2007 – Consumer Protection – Online Shopping – Page 1
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
Time to complete: 60 minutes
National Content Standards
Family and Consumer Sciences Standards: 2.3.1, 2.3.2, 2.3.3, 2.4.1, 2.4.2, 2.4.3, 2.5.3, 3.2.4, 3.2.5
National Council on Economic Education Teaching Standards: 9, 15, 16
National Standards For Business Education
• Career Development:
• Economics: III.1, IV.1, V.1, V.2,
• Personal Finance: I.1, V.1, V.2,
Objectives
Upon completion of this lesson, students will be able to:
Brainstorm tips for safe online shopping and utilize them to evaluate websites
Compare and contrast purchasing methods
Explain online auctions
Describe phishing
Introduction
Internet Safety
The Internet allows consumers to purchase items without the barriers of store hours or location. Utilizing the
internet to purchase consumer goods is becoming increasingly popular. In 2003, it was reported that 63% of
American homes have at least one computer with 55% of households having internet access
3
. In 2004, 74% of the
internet population over the age of 13, shopped online. There are little restrictions about what can be purchased
online. With options such as ordering a pizza to be delivered to your front door or purchasing a concert ticket to be
picked up at the box office consumers find online shopping to be quick and convenient. Seventy-one percent of
online shoppers find better deals online then via the physical department store or catalog
5
.
With the escalating
attractiveness of internet buying, there is an amplified need for consumer protection. Unlike shopping in
department stores, consumers assume a greater responsibility to create a paper trail to help track their purchases.
Even the most cautious internet consumers can be rapidly swept into an unforgivable tide of online fraud. With the
knowledge of what problems could happen as well as methods to protect your consumer rights you will be on the
correct path to enjoying the newest luxury of internet shopping.
P
asswords and Personal Information
Every day consumers provide an abundance of their personal information to others. The simple act of meeting a
friend for coffee and using a credit card will provide that particular shop with many details regarding your personal
finances. The coffee shop is an isolated location. However, the internet is a fast moving world with connections
among hundreds of countries. Guarding personal information will aide in the consumer protection individuals strive
to reach.
Online Shopping
Grade Level 9-12
“Take Charge of Your Finances”
Standard E–Becoming a Critical Consumer
1.3.2
© Family Economics & Financial Education – September 2007 – Consumer Protection – Online Shopping – Page 1
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
Time to complete: 60 minutes
National Content Standards
Family and Consumer Sciences Standards: 2.3.1, 2.3.2, 2.3.3, 2.4.1, 2.4.2, 2.4.3, 2.5.3, 3.2.4, 3.2.5
National Council on Economic Education Teaching Standards: 9, 15, 16
National Standards For Business Education
• Career Development:
• Economics: III.1, IV.1, V.1, V.2,
• Personal Finance: I.1, V.1, V.2,
Objectives
Upon completion of this lesson, students will be able to:
Brainstorm tips for safe online shopping and utilize them to evaluate websites
Compare and contrast purchasing methods
Explain online auctions
Describe phishing
Introduction
Internet Safety
The Internet allows consumers to purchase items without the barriers of store hours or location. Utilizing the
internet to purchase consumer goods is becoming increasingly popular. In 2003, it was reported that 63% of
American homes have at least one computer with 55% of households having internet access
3
. In 2004, 74% of the
internet population over the age of 13, shopped online. There are little restrictions about what can be purchased
online. With options such as ordering a pizza to be delivered to your front door or purchasing a concert ticket to be
picked up at the box office consumers find online shopping to be quick and convenient. Seventy-one percent of
online shoppers find better deals online then via the physical department store or catalog
5
.
With the escalating
attractiveness of internet buying, there is an amplified need for consumer protection. Unlike shopping in
department stores, consumers assume a greater responsibility to create a paper trail to help track their purchases.
Even the most cautious internet consumers can be rapidly swept into an unforgivable tide of online fraud. With the
knowledge of what problems could happen as well as methods to protect your consumer rights you will be on the
correct path to enjoying the newest luxury of internet shopping.
P
asswords and Personal Information
Every day consumers provide an abundance of their personal information to others. The simple act of meeting a
friend for coffee and using a credit card will provide that particular shop with many details regarding your personal
finances. The coffee shop is an isolated location. However, the internet is a fast moving world with connections
among hundreds of countries. Guarding personal information will aide in the consumer protection individuals strive
to reach.
Online Shopping
Grade Level 9-12
“Take Charge of Your Finances”
Appendix E – Sample Activities for Each of the Content Standards
135
1.3.2
© Family Economics & Financial Education – September 2007 – Consumer Protection – Online Shopping – Page 2
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
Although consumers use passwords for everything from e-mail to PIN numbers on a debit card, it is best to not use
the same password for all information. The more difficult it is for an individual to learn a consumer’s password, the
decreased chance of information being used without consent.
Changing passwords on a regular basis (at minimum 90 days) will help to increase security for passwords and
personal information. However, remembering several passwords can be challenging. Do not create one that has a
bizarre character combination that may be difficult to remember or use a common word such as a month. Record
and keep passwords in a secure place. A s
ecure place should be out of sight for others and in a memorable location.
Websites will offer to remember user names and passwords for individuals.
Do not do this to prevent others on the
same computer from easily accessing your information, and be sure to log off once the session is complete.
Often, consumers will be prompted to create a user name and password for each website when making their first
online purchase. This is the merchant’s way of storing personal information for future purchases. Before providing
personal information, familiarize yourself with the agreement terms such as the company’s liability and warranty
information.
O
nline Shopping Safety Tips
• Do not rely on websites that appear professional as resources for safe online shopping
1
.
Look for a closed
lock in the bottom right hand corner of the screen or use the website URL (Uniform Resource Locator) as a
gauge. A URL that is “https” is a good indicator. The “s” stands for secure
2
.
These concepts can only help to
be a sign of security, they are not a guarantee. Therefore, consumers should also look for many of the other
safety indicators.
• If a person is not familiar with the business, inquire about the physical location of the site such as their street
address and phone number. This information should be listed on their website. Then, do a reliability check
with a company that specializes in customer complaints and dishonest business practices such as the B
etter
B
usiness Bureau (www.bbbonline.org
)
1
.
This will help to determine if the company is reputable.
• Pay for purchases using a credit card. If products are not delivered or if it is not what the consumer
requested credit above the fifty dollar fee that consumers are responsible for will be issued back. Billing
disputes are covered under the F
air Credit Billing Act. This act states that the consumer is only
responsible for a $50 fee if the product is not delivered or if it was not what they had ordered. Also, a credit
card transaction is easier to track and control compared to other payment options because a person can
double check themselves with the paper statement received in the mail
1
.
If a consumer would not like to use
their credit card, obtaining a virtual credit card is an option. Virtual credit cards can be credit card
companies are a one time use prepaid card that can be utilized for any online transaction. Many credit card
companies also offer substitute numbers. Substitute numbers are temporary credit card numbers assigned by
the credit card company. The number can be used to make purchases with amount due appearing on the
consumers regular bill. Often substitute credit card numbers are valid for purchases made within a 24 hour
window.
• Using methods such as debit cards that are not affiliated with a credit card company, personal checks,
cashier’s checks, money orders, or wire transfers will not offer the same protection as online payment
services or credit cards because they are not covered by the Fair Credit Billing Act. In addition, these
transactions are final and irreversible. Therefore, the safest way to pay for an item purchases online is with a
credit card.
• Online payment services are a positive option for both buyers and sellers. An o
nline payment service is a
third party that will help complete the transaction between the buyer and the seller. The buyer will give the
1.3.2
© Family Economics & Financial Education – September 2007 – Consumer Protection – Online Shopping – Page 2
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
Although consumers use passwords for everything from e-mail to PIN numbers on a debit card, it is best to not use
the same password for all information. The more difficult it is for an individual to learn a consumer’s password, the
decreased chance of information being used without consent.
Changing passwords on a regular basis (at minimum 90 days) will help to increase security for passwords and
personal information. However, remembering several passwords can be challenging. Do not create one that has a
bizarre character combination that may be difficult to remember or use a common word such as a month. Record
and keep passwords in a secure place. A s
ecure place should be out of sight for others and in a memorable location.
Websites will offer to remember user names and passwords for individuals.
Do not do this to prevent others on the
same computer from easily accessing your information, and be sure to log off once the session is complete.
Often, consumers will be prompted to create a user name and password for each website when making their first
online purchase. This is the merchant’s way of storing personal information for future purchases. Before providing
personal information, familiarize yourself with the agreement terms such as the company’s liability and warranty
information.
O
nline Shopping Safety Tips
• Do not rely on websites that appear professional as resources for safe online shopping
1
.
Look for a closed
lock in the bottom right hand corner of the screen or use the website URL (Uniform Resource Locator) as a
gauge. A URL that is “https” is a good indicator. The “s” stands for secure
2
.
These concepts can only help to
be a sign of security, they are not a guarantee. Therefore, consumers should also look for many of the other
safety indicators.
• If a person is not familiar with the business, inquire about the physical location of the site such as their street
address and phone number. This information should be listed on their website. Then, do a reliability check
with a company that specializes in customer complaints and dishonest business practices such as the B
etter
B
usiness Bureau (www.bbbonline.org)
1
.
This will help to determine if the company is reputable.
• Pay for purchases using a credit card. If products are not delivered or if it is not what the consumer
requested credit above the fifty dollar fee that consumers are responsible for will be issued back. Billing
disputes are covered under the F
air Credit Billing Act. This act states that the consumer is only
responsible for a $50 fee if the product is not delivered or if it was not what they had ordered. Also, a credit
card transaction is easier to track and control compared to other payment options because a person can
double check themselves with the paper statement received in the mail
1
.
If a consumer would not like to use
their credit card, obtaining a virtual credit card is an option. Virtual credit cards can be credit card
companies are a one time use prepaid card that can be utilized for any online transaction. Many credit card
companies also offer substitute numbers. Substitute numbers are temporary credit card numbers assigned by
the credit card company. The number can be used to make purchases with amount due appearing on the
consumers regular bill. Often substitute credit card numbers are valid for purchases made within a 24 hour
window.
• Using methods such as debit cards that are not affiliated with a credit card company, personal checks,
cashier’s checks, money orders, or wire transfers will not offer the same protection as online payment
services or credit cards because they are not covered by the Fair Credit Billing Act. In addition, these
transactions are final and irreversible. Therefore, the safest way to pay for an item purchases online is with a
credit card.
• Online payment services are a positive option for both buyers and sellers. An o
nline payment service is a
third party that will help complete the transaction between the buyer and the seller. The buyer will give the
136
Appendix E – Sample Activities for Each of the Content Standards
1.3.2
© Family Economics & Financial Education – September 2007 – Consumer Protection – Online Shopping – Page 3
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
payment information to the service and in turn the service will then pay the seller. The information about
the buyer is being held by the service instead of the seller. This helps protect the buyer from any
unauthorized charges
4
.
• Review credit card and bank statements as soon as they are received. This will allow consumers to better
track and report any unauthorized charges
2
.
Fair Credit Billing Act requires unauthorized charges to be
reported within 60 days.
• Keep a paper trail of the purchases. Print out the page of the site confirming the purchase details. This will
help to confirm the order as well as file a complaint if necessary
1
.
• Understand the companies return and refund policies. In addition, be clear about any shipping and
handling fees
1
.
• Know the date the product should be received. Federal law requires that goods and services be delivered
within thirty days unless a different date is specifically stated
1
.
• If a consumer believes they have been a victim of fraud, file a report with the F
ederal Trade Commission
(www.ftc.gov
) which specializes in consumer protection in addition to maintaining a competitive
marketplace for both consumers and businesses
2
.
• Anti – Virus software is a computer program that will help to protect personal information and computer
files from a computer virus that can destroy data or potentially use personal accounts, such as email, to send
viruses to other computers. Anti virus software can be bought and downloaded online or bought at a store
and installed onto a computer. Indicators including programs that will recognize current and old viruses,
effectively reverse damage, and update itself automatically are gauges of a good program.
I
nternet Auctions
4
In addition to shopping online at your favorite department store, a person may also bid against other individuals to
receive the best possible price for a product through an online auction. Online auctions specialize in person to
person contact involving sellers shipping their goods directly to the consumer. When beginning the process of online
auctions there are a few key elements to being a wise consumer. First, know that most sites require a user name and
password. Second, take a close look at fees that might be involved. An abundance of sites charge the seller for
placing the items on auction. Additionally, often the auction includes a “reserve price.” For a buyer this means that
the r
eserve price is the lowest amount the seller is willing to release the product. This means that if a buyer does not
bid above the reserve price the seller will not sell the item. Prior to bidding, become more familiar with the site,
including protection that may be offered, warranties that may be included, and additional fees including shipping
and handling. Do not be afraid to contact the seller with any additional questions before purchasing the
merchandise. Be sure to know what type of payment the seller accepts and determine if providing that form of
payment is safe and acceptable.
P
hishing
2
P
hishing is an act that internet scam artists use to lure you into giving them personal information. They then use
this information to steal your identity, make fraudulent charges, or even to commit crime in your name. Most
consumers get the impression that something of this nature may be easy to detect. However, “phishers” find creative
ways to allow the consumer to feel as though disclosing this information is safe. A common way for this act to occur
is for a pop up message to appear while using the internet or to receive an email. This pop up message will either ask
the consumer to validate or update information. These messages will also imply the claim that they are from a
business or organization that consumers typically work with. It is crucial to keep in mind that legitimate companies
1.3.2
© Family Economics & Financial Education – September 2007 – Consumer Protection – Online Shopping – Page 3
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
payment information to the service and in turn the service will then pay the seller. The information about
the buyer is being held by the service instead of the seller. This helps protect the buyer from any
unauthorized charges
4
.
• Review credit card and bank statements as soon as they are received. This will allow consumers to better
track and report any unauthorized charges
2
.
Fair Credit Billing Act requires unauthorized charges to be
reported within 60 days.
• Keep a paper trail of the purchases. Print out the page of the site confirming the purchase details. This will
help to confirm the order as well as file a complaint if necessary
1
.
• Understand the companies return and refund policies. In addition, be clear about any shipping and
handling fees
1
.
• Know the date the product should be received. Federal law requires that goods and services be delivered
within thirty days unless a different date is specifically stated
1
.
• If a consumer believes they have been a victim of fraud, file a report with the F
ederal Trade Commission
(www.ftc.gov) which specializes in consumer protection in addition to maintaining a competitive
marketplace for both consumers and businesses
2
.
• Anti – Virus software is a computer program that will help to protect personal information and computer
files from a computer virus that can destroy data or potentially use personal accounts, such as email, to send
viruses to other computers. Anti virus software can be bought and downloaded online or bought at a store
and installed onto a computer. Indicators including programs that will recognize current and old viruses,
effectively reverse damage, and update itself automatically are gauges of a good program.
I
nternet Auctions
4
In addition to shopping online at your favorite department store, a person may also bid against other individuals to
receive the best possible price for a product through an online auction. Online auctions specialize in person to
person contact involving sellers shipping their goods directly to the consumer. When beginning the process of online
auctions there are a few key elements to being a wise consumer. First, know that most sites require a user name and
password. Second, take a close look at fees that might be involved. An abundance of sites charge the seller for
placing the items on auction. Additionally, often the auction includes a “reserve price.” For a buyer this means that
the r
eserve price is the lowest amount the seller is willing to release the product. This means that if a buyer does not
bid above the reserve price the seller will not sell the item. Prior to bidding, become more familiar with the site,
including protection that may be offered, warranties that may be included, and additional fees including shipping
and handling. Do not be afraid to contact the seller with any additional questions before purchasing the
merchandise. Be sure to know what type of payment the seller accepts and determine if providing that form of
payment is safe and acceptable.
P
hishing
2
P
hishing is an act that internet scam artists use to lure you into giving them personal information. They then use
this information to steal your identity, make fraudulent charges, or even to commit crime in your name. Most
consumers get the impression that something of this nature may be easy to detect. However, “phishers” find creative
ways to allow the consumer to feel as though disclosing this information is safe. A common way for this act to occur
is for a pop up message to appear while using the internet or to receive an email. This pop up message will either ask
the consumer to validate or update information. These messages will also imply the claim that they are from a
business or organization that consumers typically work with. It is crucial to keep in mind that legitimate companies
Appendix E – Sample Activities for Each of the Content Standards
137
1.3.2
© Family Economics & Financial Education – September 2007 – Consumer Protection – Online Shopping – Page 4
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
will never ask for this type of information via e-mail or pop up messages. When in doubt contact the company by a
phone number looked up by going directly to their website.
In this lesson, students will know the resources available to use while shopping online, the risks of online shopping
fraud, and alternative methods of payment.
Body
1. Pass out one
Online Shopping
Survey worksheet 1.3.2.A1 to each student and instruct them to complete it.
a. Have the students report their brainstormed thoughts aloud and record them on the board.
Discussion points could include:
i. How age could directly impact the amount that people may shop online. Will adults
shop online more or less than teens?
ii. How do people learn how to shop online?
2. Pass Out one
Online Shopping
Note Taking Guide 1.3.2.L1 to each student and instruct them to complete
it during the PowerPoint Presentation
3. Present
Online Shopping
Power Point 1.3.2.G1
a. Slide 1: Online shopping
b. Slide 2: What does online shopping offer?
i. Have students brainstorm what goods and services are available online and record their
idea on their
Online Shopping
Note Taking Guide 1.3.2.L
c. Slide 3: Positive aspects of online shopping
i. Allow students time to brainstorm one positive aspect about shopping online. Have them
record their idea on their
Online Shopping
Note Taking Guide 1.3.2.L1. Discuss the
student’s ideas and the following:
1. Price Comparison
a. Not only the price of the product should be compared but also hidden
fees such as shipping and handling.
2. Convenience
a. Allow students time to brainstorm one positive aspect about what
conveniences the internet may offer. Have them record their ideas in the
designated box of
Online Shopping
worksheet 1.3.2.L1.
b. Discuss their responses along with hours, locations, and the variety of
services available.
3. Variety of goods and services
d. Slide 4: Negative aspects of online shopping
i. Allow students time to brainstorm one negative aspect of online shopping. Have them
record their idea on their
Online Shopping
Note Taking Guide 1.3.2.L1. Discuss the
student’s ideas and the following ideas:
1. Tangible objects
a. Online, pictures may be deceiving and a person cannot hold and inspect
an object before purchasing it.
2. Little, if any contact with the merchant
b. Ask the students why it might be a good idea to keep personal contact?
1. Their answers may include: to know a face and name to go along
with the product, keep local jobs available for individuals, a
quicker response for questions, and easier returns.
3. Personal information
a. Identify what personal information must be provided online compared to
paying cash in a department store, an example may include:
*
will never ask for this type of information via e-mail or pop up messages. When in doubt contact the company by a
phone number looked up by going directly to their website.
In this lesson, students will know the resources available to use while shopping online, the risks of online shopping
fraud, and alternative methods of payment.
BODY
1. Pass out one Online Shopping Survey worksheet to each student and instruct them to complete it.
a. Have the students report their brainstormed thoughts aloud and record them on the board.
Discussion points could include:
i. How age could directly impact the amount that people may shop online. Will adults
shop online more or less than teens?
ii. How do people learn how to shop online?
2. Pass Out one Online Shopping Note Taking Guide to each student and instruct them to complete it during
the PowerPoint Presentation
3. Present Online Shopping Power Point, http://fefe.arizona.edu/curriculum.php?categoryID=5#221
or make your own using the information from the introduction.
a. Slide 1: Online shopping
b. Slide 2: What does online shopping offer?
i. Have students brainstorm what goods and services are available online and record their
idea on their Online Shopping Note Taking Guide
c. Slide 3: Positive aspects of online shopping
i. Allow students time to brainstorm one positive aspect about shopping online. Have them
record their idea on their Online Shopping Note Taking Guide. Discuss the
student’s ideas and the following:
1. Price Comparison
a. Not only the price of the product should be compared but also hidden
fees such as shipping and handling.
2. Convenience
a. Allow students time to brainstorm one positive aspect about what
conveniences the internet may offer. Have them record their ideas in the
designated box of Online Shopping worksheet.
b. Discuss their responses along with hours, locations, and the variety of
services available.
3. Variety of goods and services
d. Slide 4: Negative aspects of online shopping
i. Allow students time to brainstorm one negative aspect of online shopping. Have them
record their idea on their Online Shopping Note Taking Guide. Discuss the
student’s ideas and the following ideas:
1.Tangible objects
a. Online, pictures may be deceiving and a person cannot hold and
inspect an object before purchasing it.
2. Little, if any contact with the merchant
b. Ask the students why it might be a good idea to keep personal contact?
1. Their answers may include: to know a face and name to go along
with the product, keep local jobs available for indi viduals, a
quicker response for questions, and easier returns.
3. Personal information
a. Identify what personal information must be provided online com pared to paying
cash in a department store, an example may include:
1.3.2
© Family Economics & Financial Education – September 2007 – Consumer Protection – Online Shopping – Page 4
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
will never ask for this type of information via e-mail or pop up messages. When in doubt contact the company by a
phone number looked up by going directly to their website.
In this lesson, students will know the resources available to use while shopping online, the risks of online shopping
fraud, and alternative methods of payment.
Body
1. Pass out one
Online Shopping
Survey worksheet 1.3.2.A1 to each student and instruct them to complete it.
a. Have the students report their brainstormed thoughts aloud and record them on the board.
Discussion points could include:
i. How age could directly impact the amount that people may shop online. Will adults
shop online more or less than teens?
ii. How do people learn how to shop online?
2. Pass Out one
Online Shopping
Note Taking Guide 1.3.2.L1 to each student and instruct them to complete
it during the PowerPoint Presentation
3. Present
Online Shopping
Power Point 1.3.2.G1
a. Slide 1: Online shopping
b. Slide 2: What does online shopping offer?
i. Have students brainstorm what goods and services are available online and record their
idea on their
Online Shopping
Note Taking Guide 1.3.2.L
c. Slide 3: Positive aspects of online shopping
i. Allow students time to brainstorm one positive aspect about shopping online. Have them
record their idea on their
Online Shopping
Note Taking Guide 1.3.2.L1. Discuss the
student’s ideas and the following:
1. Price Comparison
a. Not only the price of the product should be compared but also hidden
fees such as shipping and handling.
2. Convenience
a. Allow students time to brainstorm one positive aspect about what
conveniences the internet may offer. Have them record their ideas in the
designated box of
Online Shopping
worksheet 1.3.2.L1.
b. Discuss their responses along with hours, locations, and the variety of
services available.
3. Variety of goods and services
d. Slide 4: Negative aspects of online shopping
i. Allow students time to brainstorm one negative aspect of online shopping. Have them
record their idea on their
Online Shopping
Note Taking Guide 1.3.2.L1. Discuss the
student’s ideas and the following ideas:
1. Tangible objects
a. Online, pictures may be deceiving and a person cannot hold and inspect
an object before purchasing it.
2. Little, if any contact with the merchant
b. Ask the students why it might be a good idea to keep personal contact?
1. Their answers may include: to know a face and name to go along
with the product, keep local jobs available for individuals, a
quicker response for questions, and easier returns.
3. Personal information
a. Identify what personal information must be provided online compared to
paying cash in a department store, an example may include:
138
Appendix E – Sample Activities for Each of the Content Standards
1.3.2
© Family Economics & Financial Education – September 2007 – Consumer Protection – Online Shopping – Page 5
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
1. Mailing Address
b. Review which types of personal information is safe to give online versus
unsafe information.
1. Safe pieces would include:
a. credit card number
b. name
2. Unsafe pieces would include:
a. social security number
b. drivers license number
4. Consumer responsible for tracking purchases
a. Question the students about how to correctly track a credit card
purchase in a department store. The consumer should:
1. Verifying the total is correct
2. Use the credit card
3. Receive the receipt from the cashier
4. Keep the receipt in a secure place
5. Compare the receipt to the credit card bill received
6. Pay the credit card bill
b. Instruct the students to identify which step would be changed if they
made the purchase online.
c. The step changed would be 3 – receiving the receipt. The consumer
must print the receipt themselves. If they do not, they will not have a
record of purchase.
e. Slide 5: Passwords
i. Create a password using a combination of letters and numbers that is unique to
you.
ii.. Avoid using bizarre character combinations.
1. Using bizarre character combinations makes passwords difficult to
remember.
iii. Changing your password
1. Changing your password every 90 days decreases the time individuals have to
learn your information.
iiii.. S
ecure Place
1. Write down passwords and store them in a secure place.
2. A s
ecure place is a place that is out of sight and in a location that can be easily
remembered.
3. Brainstorm ideas of where secure places may be located. These may include:
a. In an envelope in a desk drawer
b. In a lock box
f. Slide 6-10: Online shopping tips
i. Review the shopping tips the students brainstormed on their
Online Shopping
Survey
worksheet 1.3.2.A1.
Slide 6: “https” and the closed lock
i. The “s” stands for secure. There will also be a closed lock in the bottom right hand corner
of the website if it is secure.
Slide 7: B
etter Business Bureau www.bbbonline.org
i. This company helps to determine the reliability of a company.
Slide 8: Unsafe purchasing methods
1.3.2
© Family Economics & Financial Education – September 2007 – Consumer Protection – Online Shopping – Page 5
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
1. Mailing Address
b. Review which types of personal information is safe to give online versus
unsafe information.
1. Safe pieces would include:
a. credit card number
b. name
2. Unsafe pieces would include:
a. social security number
b. drivers license number
4. Consumer responsible for tracking purchases
a. Question the students about how to correctly track a credit card
purchase in a department store. The consumer should:
1. Verifying the total is correct
2. Use the credit card
3. Receive the receipt from the cashier
4. Keep the receipt in a secure place
5. Compare the receipt to the credit card bill received
6. Pay the credit card bill
b. Instruct the students to identify which step would be changed if they
made the purchase online.
c. The step changed would be 3 – receiving the receipt. The consumer
must print the receipt themselves. If they do not, they will not have a
record of purchase.
e. Slide 5: Passwords
i. Create a password using a combination of letters and numbers that is unique to
you.
ii.. Avoid using bizarre character combinations.
1. Using bizarre character combinations makes passwords difficult to
remember.
iii. Changing your password
1. Changing your password every 90 days decreases the time individuals have to
learn your information.
iiii.. S
ecure Place
1. Write down passwords and store them in a secure place.
2. A s
ecure place is a place that is out of sight and in a location that can be easily
remembered.
3. Brainstorm ideas of where secure places may be located. These may include:
a. In an envelope in a desk drawer
b. In a lock box
f. Slide 6-10: Online shopping tips
i. Review the shopping tips the students brainstormed on their
Online Shopping
Survey
worksheet 1.3.2.A1.
Slide 6: “https” and the closed lock
i. The “s” stands for secure. There will also be a closed lock in the bottom right hand corner
of the website if it is secure.
Slide 7: B
etter Business Bureau www.bbbonline.org
i. This company helps to determine the reliability of a company.
Slide 8: Unsafe purchasing methods
.
Appendix E – Sample Activities for Each of the Content Standards
139
1.3.2
© Family Economics & Financial Education – September 2007 – Consumer Protection – Online Shopping – Page 6
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
i. Explain that personal checks, debit cards not affiliated with credit card companies, and
wire transfers, unlike credit cards are not irreversible because they are not covered by the
Fair Credit Billing Act, therefore it is much more difficult for a consumer to receive a
reimbursement.
Slide 9: Fair credit billing act
i. This act states that the consumer is only responsible for a $50 fee if the
product is not delivered or if it was not what they had ordered.
ii. Some credit card companies offer the benefit of waiving this fee.
5. Credit card and bank statements
a. By reviewing credit card and bank statements, consumers can catch any
unauthorized charges.
b. A consumer has 60 days to report any unauthorized charges.
Slide 10: Federal Trade Commission www.ftc.gov
i. Explain that the FTC is the nation’s consumer protection agency. They
specialize in fraud prevention, deception, and unfair business practices in
the marketplace.
7. Anti virus software
a. The word “anti” means against
b. Evaluate that the need for an anti virus program is to help protect your
personal information and personal files stored on your computer.
c. Describe the two ways to obtain an anti virus program:
1. Can be purchased at a department store and installed onto your
computer
2. Can be purchased and downloaded off of the internet.
3. You can also download a free anti virus program from
companies that are considered reputable because they only
download the software that you requested, not additional
gimmicks or services.
g. Slide 11: Internet auctions
i. Talk about the overall workings of an internet auction
1. Explain that a user name and password will have to be created.
a. The reason is that an account will be created to view the products and
make a purchase.
2. Bidding
a. Ask students what it means to bid? Question the students if they have
ever bid on something and how they knew if they were going to buy the
product.
b. Identify that individuals bid against each other. The highest bidder after
a set amount of time will purchase the product.
3. R
eserve Price
h. Slide 12: P
hishing
1. Explain that P
hishing is a type of internet fraud that lures people into giving
their personal information by using pop up messages and email.
2. Allow students time to brainstorm the types of personal information that they
believe phishers are looking for.
3. Discuss brainstormed ideas and add to them:
a. mailing address information
b. credit
1.3.2
© Family Economics & Financial Education – September 2007 – Consumer Protection – Online Shopping – Page 6
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
i. Explain that personal checks, debit cards not affiliated with credit card companies, and
wire transfers, unlike credit cards are not irreversible because they are not covered by the
Fair Credit Billing Act, therefore it is much more difficult for a consumer to receive a
reimbursement.
Slide 9: Fair credit billing act
i. This act states that the consumer is only responsible for a $50 fee if the
product is not delivered or if it was not what they had ordered.
ii. Some credit card companies offer the benefit of waiving this fee.
5. Credit card and bank statements
a. By reviewing credit card and bank statements, consumers can catch any
unauthorized charges.
b. A consumer has 60 days to report any unauthorized charges.
Slide 10: Federal Trade Commission www.ftc.gov
i. Explain that the FTC is the nation’s consumer protection agency. They
specialize in fraud prevention, deception, and unfair business practices in
the marketplace.
7. Anti virus software
a. The word “anti” means against
b. Evaluate that the need for an anti virus program is to help protect your
personal information and personal files stored on your computer.
c. Describe the two ways to obtain an anti virus program:
1. Can be purchased at a department store and installed onto your
computer
2. Can be purchased and downloaded off of the internet.
3. You can also download a free anti virus program from
companies that are considered reputable because they only
download the software that you requested, not additional
gimmicks or services.
g. Slide 11: Internet auctions
i. Talk about the overall workings of an internet auction
1. Explain that a user name and password will have to be created.
a. The reason is that an account will be created to view the products and
make a purchase.
2. Bidding
a. Ask students what it means to bid? Question the students if they have
ever bid on something and how they knew if they were going to buy the
product.
b. Identify that individuals bid against each other. The highest bidder after
a set amount of time will purchase the product.
3. R
eserve Price
h. Slide 12: P
hishing
1. Explain that P
hishing is a type of internet fraud that lures people into giving
their personal information by using pop up messages and email.
2. Allow students time to brainstorm the types of personal information that they
believe phishers are looking for.
3. Discuss brainstormed ideas and add to them:
a. mailing address information
b. credit
140
Appendix E – Sample Activities for Each of the Content Standards
1.3.2
© Family Economics & Financial Education – September 2007 – Consumer Protection – Online Shopping – Page 7
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
c. card information
d. social security number
i. Slide 11: Review
j. Slide 12: Questions
Conclusion
Provide each student with a green, yellow, and red fish
Online Shopping
Game Piece 1.3.2.H1. Refer to the
Online
Shopping
Game Pieces 1.3.2.H2 for scenario cards. As the scenario is read, have students hold up the green, yellow,
or red fish. If they feel that the scenario depicts a safe situation they should raise the green fish. If they feel that the
scenario depicts a situation that should be proceeded into with caution they should raise the yellow fish. If they feel
the scenario depicts a situation that would be considered unsafe they should raise the red fish. Refer to the
Online
Shopping
Answer key 1.3.2.K1 for discussion topics.
Assessment
Online Shopping Worksheet 1.3.2.A2
Materials
Online Shopping Survey worksheet 1.3.2.A1
Online Shopping Worksheet 1.3.2.A2
Online Shopping Power Point 1.3.2.G1
Online Shopping Game Pieces 1.3.2.H1
Online Shopping Note Taking Guide 1.3.2.L1
Online Shopping Scenario Discussion Guide 1.3.2.K1
Resources
1. Better Business Bureau - Shopping Safely Online
http://www.bbb.org/alerts/article.asp?ID=435
Nation wide company that specializes in customer complaints and dishonest business practices.
2. On Guard Online- Your Safety Net
http://www.onguardonline.gov/stopthinkclick.html
Practical tips provided from the federal government to secure your computer, protect your personal
identity, and protect your personal identity.
3. Computer and Internet Use In the United States: 2003
http://www.census.gov/prod/2005pubs/p23-208.pdf
Helping consumers to make informed decisions
4. Federal Trade Commissions - Internet Auctions, A Guide For Buyers and Sellers
http://www.ftc.gov/bcp/conline/pubs/online/auctions.shtm
Maintains a competitive marketplace for both consumers and businesses
5. Statistics: Us Online Shoppers
http://www.shop.org/learn/stats_intshop_general.asp
An association for retailers online
1.3.2
© Family Economics & Financial Education – September 2007 – Consumer Protection – Online Shopping – Page 7
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
c. card information
d. social security number
i. Slide 11: Review
j. Slide 12: Questions
Conclusion
Provide each student with a green, yellow, and red fish
Online Shopping
Game Piece 1.3.2.H1. Refer to the
Online
Shopping
Game Pieces 1.3.2.H2 for scenario cards. As the scenario is read, have students hold up the green, yellow,
or red fish. If they feel that the scenario depicts a safe situation they should raise the green fish. If they feel that the
scenario depicts a situation that should be proceeded into with caution they should raise the yellow fish. If they feel
the scenario depicts a situation that would be considered unsafe they should raise the red fish. Refer to the
Online
Shopping
Answer key 1.3.2.K1 for discussion topics.
Assessment
Online Shopping Worksheet 1.3.2.A2
Materials
Online Shopping Survey worksheet 1.3.2.A1
Online Shopping Worksheet 1.3.2.A2
Online Shopping Power Point 1.3.2.G1
Online Shopping Game Pieces 1.3.2.H1
Online Shopping Note Taking Guide 1.3.2.L1
Online Shopping Scenario Discussion Guide 1.3.2.K1
Resources
1. Better Business Bureau - Shopping Safely Online
http://www.bbb.org/alerts/article.asp?ID=435
Nation wide company that specializes in customer complaints and dishonest business practices.
2. On Guard Online- Your Safety Net
http://www.onguardonline.gov/stopthinkclick.html
Practical tips provided from the federal government to secure your computer, protect your personal
identity, and protect your personal identity.
3. Computer and Internet Use In the United States: 2003
http://www.census.gov/prod/2005pubs/p23-208.pdf
Helping consumers to make informed decisions
4. Federal Trade Commissions - Internet Auctions, A Guide For Buyers and Sellers
http://www.ftc.gov/bcp/conline/pubs/online/auctions.shtm
Maintains a competitive marketplace for both consumers and businesses
5. Statistics: Us Online Shoppers
http://www.shop.org/learn/stats_intshop_general.asp
An association for retailers online
Appendix E – Sample Activities for Each of the Content Standards
141
1.3.2.A1
Worksheet
© Family Economics & Financial Education – September 2007 – Consumer Protection – Online Shopping – Page 10
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
Online Shopping Survey
Directions: Answer the following questions by circling the letter of your response.
1. How often do you shop online?
a. Daily
b. Weekly
c. Monthly
d. Yearly
e. Never
2. How often do you think a person your age shops online?
f. Daily
g. Weekly
h. Monthly
i. Yearly
j. Never
D
irections: Answer the following questions with a short answer.
3. What was the last item that you purchased online? If you have never shopped online, what was
the last item that you thought about purchasing online?
4. When was the last time you completed a price comparison for something online?
5. What are two tips that you would tell someone to help them shop safely online?
1.3.2.A1
Worksheet
© Family Economics & Financial Education – September 2007 – Consumer Protection – Online Shopping – Page 10
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
Online Shopping Survey
Directions: Answer the following questions by circling the letter of your response.
1. How often do you shop online?
a. Daily
b. Weekly
c. Monthly
d. Yearly
e. Never
2. How often do you think a person your age shops online?
f. Daily
g. Weekly
h. Monthly
i. Yearly
j. Never
D
irections: Answer the following questions with a short answer.
3. What was the last item that you purchased online? If you have never shopped online, what was
the last item that you thought about purchasing online?
4. When was the last time you completed a price comparison for something online?
5. What are two tips that you would tell someone to help them shop safely online?
142
Appendix E – Sample Activities for Each of the Content Standards
1.3.2.A2
Worksheet
© Family Economics & Financial Education – September 2007 – Consumer Protection – Online Shopping – Page 11
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
Online shopping
Name_______________
Date_______________
D
irections: Match the following terms with the statements below. Each question is worth 1 point.
____1. This helps to take responsibility for unauthorized
purchases made on a credit card.
____2. This helps to determine the reliably of a company.
____3. Specializes in consumer protection.
A
. Better Business Bureau
B
. Fair Credit Billing Act
C
. Federal Trade Commission
Directions: Read the following questions and fill in the blank with a short answer. Each questions is
worth 1 point.
4. A ________________________is a location that is out of sight and in a memorable location.
5. Changing your password on a regular basis means that you should change it every __________
days
6. To determine if a website is safe you can look for the “https” in the address in addition to the
____________________________found in the bottom right hand corner of the screen.
7. A price that the seller has stated is the lowest they are willing to accept is referred to as the
______________________________.
D
irections: Circle True or False for the following statements. Each question is worth 1 point.
T or F 8. All debit cards are covered by the Fair Credit Billing Act
T of F 9. The “s” in “https” stands for safe
T of F 10. The Better Business Bureau has a lock that they display to show the website has been
validated.
Total Points Earned
10 Total Points Possible
Percentage
1.3.2.A2
Worksheet
© Family Economics & Financial Education – September 2007 – Consumer Protection – Online Shopping – Page 11
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
Online shopping
Name_______________
Date_______________
D
irections: Match the following terms with the statements below. Each question is worth 1 point.
____1. This helps to take responsibility for unauthorized
purchases made on a credit card.
____2. This helps to determine the reliably of a company.
____3. Specializes in consumer protection.
A
. Better Business Bureau
B. Fair Credit Billing Act
C. Federal Trade Commission
Directions: Read the following questions and fill in the blank with a short answer. Each questions is
worth 1 point.
4. A ________________________is a location that is out of sight and in a memorable location.
5. Changing your password on a regular basis means that you should change it every __________
days
6. To determine if a website is safe you can look for the “https” in the address in addition to the
____________________________found in the bottom right hand corner of the screen.
7. A price that the seller has stated is the lowest they are willing to accept is referred to as the
______________________________.
Directions: Circle True or False for the following statements. Each question is worth 1 point.
T or F 8. All debit cards are covered by the Fair Credit Billing Act
T of F 9. The “s” in “https” stands for safe
T of F 10. The Better Business Bureau has a lock that they display to show the website has been
validated.
Total Points Earned
10 Total Points Possible
Percentage
Appendix E – Sample Activities for Each of the Content Standards
143
1.3.2.A2
Worksheet
© Family Economics & Financial Education – September 2007 – Consumer Protection – Online Shopping – Page 11
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
Online shopping
Name_______________
Date_______________
D
irections: Match the following terms with the statements below. Each question is worth 1 point.
____1. This helps to take responsibility for unauthorized
purchases made on a credit card.
____2. This helps to determine the reliably of a company.
____3. Specializes in consumer protection.
A
. Better Business Bureau
B. Fair Credit Billing Act
C. Federal Trade Commission
Directions: Read the following questions and fill in the blank with a short answer. Each questions is
worth 1 point.
4. A ________________________is a location that is out of sight and in a memorable location.
5. Changing your password on a regular basis means that you should change it every __________
days
6. To determine if a website is safe you can look for the “https” in the address in addition to the
____________________________found in the bottom right hand corner of the screen.
7. A price that the seller has stated is the lowest they are willing to accept is referred to as the
______________________________.
Directions: Circle True or False for the following statements. Each question is worth 1 point.
T or F 8. All debit cards are covered by the Fair Credit Billing Act
T of F 9. The “s” in “https” stands for safe
T of F 10. The Better Business Bureau has a lock that they display to show the website has been
validated.
Total Points Earned
10 Total Points Possible
Percentage
1.3.2.L1
Worksheet
© Family Economics & Financial Education – September 2007 – Consumer Protection – Online Shopping – Page 8
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
Online shopping
Name_______________
Date_______________
Total Points Earned
26 Total Points Possible
Percentage
What types of goods and services are available online?
Directions: Complete the following note taking guide during the PowerPoint presentation.
5 Positive Aspects of
Online Shopping
5 Negative Aspects of
Online Sho
pp
in
g
1.
2.
3.
1.
2.
3.
4.
5.
1.
2.
3.
4.
5.
Password Safety Tips
A secure place is.
1.3.2.L1
Worksheet
© Family Economics & Financial Education – September 2007 – Consumer Protection – Online Shopping – Page 8
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
Online shopping
Name_______________
Date_______________
Total Points Earned
26 Total Points Possible
Percentage
What types of goods and services are available online?
Directions: Complete the following note taking guide during the PowerPoint presentation.
5 Positive Aspects of
Online Shopping
5 Negative Aspects of
Online Sho
pp
in
g
1.
2.
3.
1.
2.
3.
4.
5.
1.
2.
3.
4.
5.
Password Safety Tips
A
secure place is.
144
Appendix E – Sample Activities for Each of the Content Standards
1.3.2.L1
Worksheet
© Family Economics & Financial Education – September 2007 – Consumer Protection – Online Shopping – Page 9
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
A site is secure when these
two things are present on
the screen:
ONLINE
SHOPPING
SAFETY
TIPS
The Better Business
Bureau can tell consumers
about:
The safest payment
method when making an
online purchase:
The Fair Credit Billing
Act states that:
When should statements be reviewed?
The Federal Trade
Commission:
Anti-virus software is
important because it:
Phishing is:
Internet auctions
1.
2.
3.
1.3.2.L1
Worksheet
© Family Economics & Financial Education – September 2007 – Consumer Protection – Online Shopping – Page 9
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
A site is secure when these
two things are present on
the screen:
ONLINE
SHOPPING
SAFETY
T
IPS
The Better Business
Bureau can tell consumers
about:
The safest payment
method when making an
online purchase:
The Fair Credit Billing
Act states that:
When should statements be reviewed?
The Federal Trade
Commission:
Anti-virus software is
important because it:
Phishing is:
Internet auctions
1.
2.
3.
Appendix E – Sample Activities for Each of the Content Standards
145
1.3.2.H1
Game Pieces
© Family Economics & Financial Education – September 2007 – Consumer Protection – Online Shopping – Page 12
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
Online shopping
Green
Yellow
Red
1.3.2.H1
Game Pieces
© Family Economics & Financial Education – September 2007 – Consumer Protection – Online Shopping – Page 12
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
Online shopping
Green
Yellow
Red
146
Appendix E – Sample Activities for Each of the Content Standards
1.3.2.H1
Game Pieces
© Family Economics & Financial Education – September 2007 – Consumer Protection – Online Shopping – Page 13
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
Sarah has decided she is going to buy a new bike. After careful research she
has found the exact match for her! Because she is buying the bike from an
online advertisement posted by a friend of her Aunt’s, Sarah has decided to
meet the woman at the local grocery store and make the exchange.
Bob found an amazing deal on downhill skis. The seller only accepts debit
cards and because Bob cannot turn the offer down he has decided to comply
with the seller’s terms and use his debit card.
Sue has decided that she wants to buy a new set of golf clubs. She found a set
advertised online. However, the seller has decided that they could avoid t he
online fees if Sue sent a personal check in the mail and in turn the seller would
ship the golf clubs.
Chris is shopping for a new book to read during the summer. The best deal he
found was at an online store. He has gained approval from his parents to use
their credit card to make the purchase from the online store.
Sam is looking to make a stereo his first big purchase. Even though it is only a
year old, it is a great price. After closely looking at many pictures on the
internet he has decided to set up a wire transfer to pay for the stereo.
Jill lost her cell phone and needs to replace it immediately. She
decided to go online to shop for one. She found one that was being sold by a
classmate. The classmate said that he would bring the cell phone to school the
next day if she brought a cashier’s check to pay for it, Jill agreed.
1.3.2.H1
Game Pieces
© Family Economics & Financial Education – September 2007 – Consumer Protection – Online Shopping – Page 13
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
Sarah has decided she is going to buy a new bike. After careful research she
has found the exact match for her! Because she is buying the bike from an
online advertisement posted by a friend of her Aunt’s, Sarah has decided to
meet the woman at the local grocery store and make the exchange.
Bob found an amazing deal on downhill skis. The seller only accepts debit
cards and because Bob cannot turn the offer down he has decided to comply
with the seller’s terms and use his debit card.
Sue has decided that she wants to buy a new set of golf clubs. She found a set
advertised online. However, the seller has decided that they could avoid t he
online fees if Sue sent a personal check in the mail and in turn the seller would
ship the golf clubs.
Chris is shopping for a new book to read during the summer. The best deal he
found was at an online store. He has gained approval from his parents to use
their credit card to make the purchase from the online store.
Sam is looking to make a stereo his first big purchase. Even though it is only a
year old, it is a great price. After closely looking at many pictures on the
internet he has decided to set up a wire transfer to pay for the stereo.
Jill lost her cell phone and needs to replace it immediately. She
decided to go online to shop for one. She found one that was being sold by a
classmate. The classmate said that he would bring the cell phone to school the
next day if she brought a cashier’s check to pay for it, Jill agreed.
Appendix E – Sample Activities for Each of the Content Standards
147
1.3.2.K1
© Family Economics & Financial Education – September 2007 – Consumer Protection – Online Shopping – Page 14
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
Suggested Answers for Scenarios
1. Sarah has decided that she is going to buy a new bike. After careful research she has found the exact
match for her! Because she is buying the bike from an online advertisement posted by a friend of her
Aunt’s Sarah has decided to meet the woman at the local grocery store and make the exchange.
a.
Green; The seller could be considered a reliable resource. Sarah is going to meet the seller a
populated place so she will be safe and she is also getting the opportunity to look at the bike
and ask the seller any questions prior to purchasing it. Sarah has to give little if any
personal information to make the purchase
.
2. Bob found an amazing deal on downhill skis. The seller only accepts debit cards and because Bob
cannot turn the offer down he has decided to comply with the sellers terms and use his debit card.
a.
Yellow; Bob needs to do further research into the reasons why the seller will accept nothing
but debit cards. Bob needs to consider if his debit card is affiliated with a major credit card
company so he can be covered by the Fair Credit Billing Act.
3
.
Sue has decided that she wants to buy new set of golf clubs. She found a advertised online.
However, the seller has decided that in order to save online fees if Sue sent a personal check in the
mail and in turn the seller would ship the golf clubs.
a. Red; A personal check could have problems for the following reasons:
1. It could get lost in the mail
2. It contains too much information
3. Once the check is deposited into a bank account it is irreversible.
In addition the seller may never ship the golf clubs once they have received the check. If Sue
decides that she does not like the golf clubs it will be too late because the transaction will be
complete.
4. Chris is shopping a new book to read for the summer. The best deal he found was at an online store.
He has gained approval from his parents to use their credit card to make the purchase from the
online store.
a. Green; His first purchase is a small one so he has the opportunity to get to
know the company. He has received his parents permission to use a credit card
which will be covered by the Fair Credit Billing Act.
1.3.2.K1
© Family Economics & Financial Education – September 2007 – Consumer Protection – Online Shopping – Page 14
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
Suggested Answers for Scenarios
1. Sarah has decided that she is going to buy a new bike. After careful research she has found the exact
match for her! Because she is buying the bike from an online advertisement posted by a friend of her
Aunt’s Sarah has decided to meet the woman at the local grocery store and make the exchange.
a.
Green; The seller could be considered a reliable resource. Sarah is going to meet the seller a
populated place so she will be safe and she is also getting the opportunity to look at the bike
and ask the seller any questions prior to purchasing it. Sarah has to give little if any
personal information to make the purchase
.
2. Bob found an amazing deal on downhill skis. The seller only accepts debit cards and because Bob
cannot turn the offer down he has decided to comply with the sellers terms and use his debit card.
a.
Yellow; Bob needs to do further research into the reasons why the seller will accept nothing
but debit cards. Bob needs to consider if his debit card is affiliated with a major credit card
company so he can be covered by the Fair Credit Billing Act.
3
.
Sue has decided that she wants to buy new set of golf clubs. She found a advertised online.
However, the seller has decided that in order to save online fees if Sue sent a personal check in the
mail and in turn the seller would ship the golf clubs.
a. Red; A personal check could have problems for the following reasons:
1. It could get lost in the mail
2. It contains too much information
3. Once the check is deposited into a bank account it is irreversible.
In addition the seller may never ship the golf clubs once they have received the check. If Sue
decides that she does not like the golf clubs it will be too late because the transaction will be
complete.
4. Chris is shopping a new book to read for the summer. The best deal he found was at an online store.
He has gained approval from his parents to use their credit card to make the purchase from the
online store.
a. Green; His first purchase is a small one so he has the opportunity to get to
know the company. He has received his parents permission to use a credit card
which will be covered by the Fair Credit Billing Act.
148
Appendix E – Sample Activities for Each of the Content Standards
1.3.2.K1
© Family Economics & Financial Education – September 2007 – Consumer Protection – Online Shopping – Page 15
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
5. Sam is looking to make his first big purchase of a stereo. Even though the stereo is only a year old it
is a great price. After closely looking at many pictures on the internet he has decided to set up a wire
transfer to pay for the computer.
a. Red; Pictures on the internet can be deceiving. You are not able to be sure if
you are looking at truthful pictures of the product. This may be a good situation
to question why the seller wants to sell their stereo that is only a year old for
such a great price. Is there something wrong with it that Sam should know about?
The method of payment being a wire transfer is unsafe because it is irreversible.
6. Jill accidentally lost her cell phone and needs to replace it immediately. She decided to go on line to
shop for one. She found one that was being sold by a classmate that she is not really friends with but
is in Chemistry class with. The classmate said that he would bring the cell phone to school the next
day if she brought a cashier’s check to pay for it. They would make the trade before class begins, Jill
agreed.
a. Yellow; It is a good idea that Jill knows who the person is and she is capable of seeing the
cell phone to ask questions to the seller. Using a cashier’s check poses a problem if she
decides that she does not want the phone. Cahiers checks are not always reversible if
necessary. Is she making a quick decision because she needs to find a cell phone quickly? If
she were to shop around would she be happier with a different purchase?
1.3.2.K1
© Family Economics & Financial Education – September 2007 – Consumer Protection – Online Shopping – Page 15
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
5. Sam is looking to make his first big purchase of a stereo. Even though the stereo is only a year old it
is a great price. After closely looking at many pictures on the internet he has decided to set up a wire
transfer to pay for the computer.
a. Red; Pictures on the internet can be deceiving. You are not able to be sure if
you are looking at truthful pictures of the product. This may be a good situation
to question why the seller wants to sell their stereo that is only a year old for
such a great price. Is there something wrong with it that Sam should know about?
The method of payment being a wire transfer is unsafe because it is irreversible.
6. Jill accidentally lost her cell phone and needs to replace it immediately. She decided to go on line to
shop for one. She found one that was being sold by a classmate that she is not really friends with but
is in Chemistry class with. The classmate said that he would bring the cell phone to school the next
day if she brought a cashier’s check to pay for it. They would make the trade before class begins, Jill
agreed.
a. Yellow; It is a good idea that Jill knows who the person is and she is capable of seeing the
cell phone to ask questions to the seller. Using a cashier’s check poses a problem if she
decides that she does not want the phone. Cahiers checks are not always reversible if
necessary. Is she making a quick decision because she needs to find a cell phone quickly? If
she were to shop around would she be happier with a different purchase?
Appendix E – Sample Activities for Each of the Content Standards
149
Standard F–Community and Financial Responsibility
Phil’s Community Connections
LESSON 1 Puzzle of Philanthropy
GRADES: 3-5
Purpose
Students will research some local community organizations to better understand the real application of the
terms “philanthropy” and “hero.”
Duration
Four 45 minute lessons.
Objectives
The learner will:
•Definephilanthropyfromaninexperiencedinitialperspective.
•Recognizethatcommonpeoplecanbephilanthropicheroes.
•Listthreeexamplesofsimpleactsofphilanthropy.
•Listthreecommunityresourcesthatworktoimprovethecommunity’scommongood.
•Researchthepurposeandhistoryofacommunityorganization.
•Redefinephilanthropyfromtheirmoreexperiencedperspective,evaluatinghowthedefinitionhaschanged.
•Reflectonthemeaningofahometown(philanthropic)hero.
Materials
•Notebookorhandmadejournalforeachstudent.
•Phonebooks,localdirectories,Internetconnectionforresearch.
•Uncle Willie and the Soup Kitchen.
Procedure(s)
Anticipatory Set:
Distribute to each child $100 of play money and tell them their task is to utilize the money in the best manner to
help other people. The students write in their journals exactly how the pretend money should be spent and how
it will help others. Ask some students to read their ideas aloud to the class. (They will look back at these ideas
later when they know more about philanthropy.)
• Writethewords“philanthropy”and“hero”ontheboard.Askthechildrentodefinethewordsaspartofa
class discussion. The teacher may provide guidance to define philanthropy as the giving or sharing of time,
talents, or treasure for the common good.
150
Appendix E – Sample Activities for Each of the Content Standards
• Guidechildrentodefineheroesbybrainstormingexamplesofheroesinliterature,thenews,andinthecom-
munity. Make a list of these people and what they did for others. Ask them to think of the common traits of
these heroes (honest, selfless, works for the common good, etc.).
• Studentsshouldwritethedefinitionsofphilanthropyandheroesintheirownwordsandwithexamplesin
their journals.
Day 2
• ReadUncle Willie and the Soup Kitchen by DyAnne DiSalvo-Ryan. Before reading ask students to listen for
acts of philanthropy and examples of heroes. After reading, have the students identify the philanthropy and
heroes. Guide students to recognize that common people (like them) can be philanthropic heroes. There are
other books listed in the Bibliographical References with more examples of community heroes.
• Ask students ifit is the responsibility of people to help those in need. Discuss whetherit is everybody’s
responsibility to make the world a better place no matter how much money they have. Why is philanthropy a
responsibility and not something extra?
• Showthestudentshowtouseavailableresourcestodeterminewhetherthereisasoupkitcheninyourarea.
If so, find out who runs it: a church, a community organization, a government-funded organization, or other.
Talk about the motives of the group that runs it. Discuss what kinds of philanthropy are involved (time, talent,
and/ortreasure).
• Guidethestudentstouseavailableresourcestolocatecommunityorganizationsthathelppeople.Explainthe
differences between government organizations and private organizations that provide support to others.
• Studentslistintheirjournalsatleastthreecommunityresourcesthatprovideforthebettermentofthecom-
munity (examples: Chamber of Commerce, foundations, private individuals, faith-based programs, business
and industry, educational institutions, etc.). Each student should choose one of these to research further.
Day 3
• StudentsresearchtheorganizationtheychoseattheendofDay2.Beforetheystart,generatecommonques-
tions for them to explore regarding the history, financial backing, and the impact of the service. Help students
make contact through websites, phone calls, or e-mail to obtain information from each organization. Students
record their research in their journals.
Day 4
• Engagestudentsinaclassdiscussionon the resultsoftheirresearchonlocalnonprofitorganizations/ser-
vices to further understand how community organizations support community citizens and their efforts.
• After the discussion, students write a journal entry to evaluate their initial denitions of “philanthropy” and
“hero” stating if their perceptions have changed or remained the same. They should suport with evidence
their initial idea of how to spend the $100 or revise their ideas based on the new information.
Appendix E – Sample Activities for Each of the Content Standards
151
Assessment
Assess student writing in the journals. They should have completed all the assignments thoroughly and
demonstrated thoughtfulness in the process. See rubric below.
Rubric
Points
Possible
Points
Earned
Task
Journal Entry One:Denephilanthropy
and hero and explain how to spend $100
for the common good.
Journal Entry Two: List three community
organizations that help others.
Journal Entry Three: Research of the
local organization includes:
a. origin,
b.nancialbacking,
c. impact.
Journal Entry Four: Students completed
anevaluativestatementofdenitionsand
to justify continued belief in initial plans
of spending the $100 of play money, or
describing how they would change their
initial plans for use of the money.
3
3
3
3
http://www.learningtogive.org/lessons/unit209/lesson1.html
152
Appendix E – Sample Activities for Each of the Content Standards
Standard G–Risk Management
I Can Be an Entrepreneur
Grades 3-5
Key Economic Concepts
• Accounting Prot
• Accounting Loss
• Advertising
• Business
• Costs
• Entrepreneurs
• Entrepreneurship
• Goods
• Price
• Production
• Risk
• Services
Description
Learners are given information on how they can earn extra money by becoming entrepreneurs. After investigat-
ing several web pages that offer examples of what other people their age have done to earn money, students
identify three money-making ideas for themselves such as: considering what they would enjoy doing, what
they do well, what people are willing to buy, the need to set a price that will be profitable, and safety. In a
follow-up activity, students are given tips on how they might advertise what they are selling. They prepare fly-
ers to promote one of their ideas for earning money. For an introduction to earning and other ways people get
money, the instructor may want to first use the lesson “Money Doesn’t Grow on Trees.”
Lesson Objectives
Students will
•Selectthreebusinessestheybelievecanbesuccessfulforthemandsupporttheirideaswithreasonswhy.
•Createaflyerpromotingwhattheyareselling.
Introduction
Discuss the following with your students: There are two basic ways to earn money. One way is to make or gather
something that others are willing to buy. The something you make or gather is called a good. The other way is
to do work that others are willing to pay you to do. This work is called a service. Maybe your family gives you
money for doing household chores like dusting, washing the dishes, or feeding a pet. The amount of money
your family is willing and able to pay you is probably limited. Have you ever tried to sell a good or service to
people outside your family–perhaps to friends or neighbors? If you have, you were probably an entrepreneur.
Appendix E – Sample Activities for Each of the Content Standards
153
The dictionary says an entrepreneur is, “a person who organizes and manages a business, assuming the risk
for the sake of profit.” In short, an entrepreneur is a business person who does these things:
1. Sees an opportunity for making money
2. Makes a plan
3. Starts the business
4. Manages the business
5. Receives the profit
A business can be a big company that makes televisions or computers. A business can also be small such as
a neighborhood grocery store or a soft drink stand at a local ball game. In this lesson, your students will learn
more about what entrepreneurs do and what it takes to become a successful entrepreneur.
Resources
The following web pages are suggested for students to use when researching money-making ideas:
• Kid’s Money Making
http://www.kidsmoney.org/makemone.htm
A site where people can submit their money-making ideas to and read the advice other people have shared.
• Summer Sun, Fun, and Money
http://googolplex.cuna.org/30399/ajsmall/story.html?doc_id=149
This site helps kids under 16 think of things they can do during the summer months to earn spending money.
• Summer Jobs for Kids
http://familyfun.go.com/parenting/learn/activities/feature/famf0600sumjob/famf0600sumjob6.html
This site offers tips to help kids and their parents decide what type of job would best suit them.
You may also want to have some books with money-making ideas available in your classroom or school library.
Here are three possibilities:
• Kid Biz, Bonnie and Noel Drew (Eakin Press, 1990). ISBN 0890157499
• Kid Cash, Joe Lamancusa (TAB Books, a division of McGraw-Hill, 1993). ISBN 083064265X
• Making Cents: Every Kid’s Guide to Money, Elizabeth Wilkinson (Little, Brown and Co., 1989)
ISBN: 0316941026
Check with your librarian and bookstore for other books on the same subject.
Process
There is substantial exibility in how this lesson may be used. You may decide to have students focus on jobs
that they can do to earn money in the classroom, school, neighborhood or a combination of these. This choice
will be inuenced by factors such as the age of your students, the economic circumstances of their families, stu-
dent safety, and classroom time you wish to devote to the project.
Some teachers require students to follow through with their money-making idea trying to find customers
for what is being sold. If you are not comfortable having students seek work in the community-at-large, you can
direct them to identify a job they can do for classmates. Jobs are done during recess or special classroom time.
Other educators allow students to sell to anyone in their school–a school store is opened or there is a special
market event. Another option is a school fair (perhaps on the evening a PTA meeting is being held) where par-
ents are invited to meet students and learn about the goods and services being sold.
154
Appendix E – Sample Activities for Each of the Content Standards
Activity 1–Choosing a Business
Have students complete the worksheets
Earning a Profit and Jobs I Can Do to Earn Money.
Suggested discussion questions:
• Whatjobsdidyouchoosetoearnmoney?
• Whydoyouthinktheywillbesuccessful?
Create a graphic organizer that organizes the students into categories, (e.g., Enjoyable, Profitable, Con-
sumer Demand, Parents Approve).
Activity 2–Letting Others Know What You Are Selling
Have the students choose one money-making idea and create a flyer that advertises what they are selling. Em-
phasize the elements that they will want to include in their flyer:
• Pictures,words,andotherthingsthatcatchpeople’sattention.
• Whattheyareoffering.
• Theirqualificationsfordoingthejob.
• Whycustomersmightlikeorusewhattheyareselling.
• Whattheirgoodorservicecosts.
• Howtocontactthem–usuallyaphonenumberiftheyareprovidingaservice.
This is an ideal project for helping students to build word processing, publishing, and other computer tech-
nology skills. It is your choice whether the entire project or selected elements of it–such as creating graphics
and text–will be completed on the computer. If access to computers is limited, the flyers can also be completed
in a more traditional manner with colored markers and paper. Students can draw pictures or cut them out of
magazines.
Post students’ completed flyers. Have them report to their classmates their money-making idea and how
they would use the flyer they have created. Discuss appropriate locations for the flyers.
Conclusion
If your students want extra money, becoming entrepreneurs may be a solution for them. Have them keep their
eyes and ears open–they will be surprised how many opportunities for making money will pop up at home, at
school, and in their neighborhood! Keys to a successful entrepreneurial experience are finding something they
like to do that is safe and that others are willing to buy; it is also crucial to set a price that will yield a profit, and
to spread the news on what they are selling.
Appendix E – Sample Activities for Each of the Content Standards
155
Assessment Activity
Evaluation 1
Assess students’ completed worksheets for Activity 1. Consider the students’ reasons for choosing their jobs, the
likelihood that they would be successful, and their neatness, grammar, spelling, accuracy of mathematics, etc.
Evaluation 2
Elements that might be included in an assessment rubric for the promotional yer include: originality, inclusion
of required elements, e.g., what is being sold, contact information, price, design elements (layout, graphics, let-
tering), mechanics (spelling, grammar, neatness), and appropriateness of information.
156
Appendix E – Sample Activities for Each of the Content Standards
Copyright National Council on Economic Education
EconEdLink: Earning a Profit Answer Sheet
Name: Date:
Calculate the profit or loss for each of these money-making ideas.
Remember: Revenue - Expenses = Profit or Loss
1. Bracelets. You sell ten bracelets for three dollars each. You have
spent three dollars on cord and nine dollars on beads.
_____________
- _____________= _____________
2. Cookie Sale. At the grocery store you paid ten dollars for the things you
needed to make the cookies. You got twenty dollars for the cookies you
sold.
_____________
- _____________= _____________
3. Can Recycling. At the recycling center, you are paid fifteen dollars for the
cans you collect. Your only expense is one dollar for some bags to put the
cans in.
_____________
- _____________= _____________
4. Raking Leaves. You rake two lawns getting paid five dollars for each.
When the rake you borrowed breaks, you have to replace it. The rake
costs eight dollars. You paid three dollars to print flyers to advertise your
business to your neighbors.
_____________
- _____________= _____________
5. Which idea has the most revenue?
____________________________
6. Which idea has the least revenue?
____________________________
7. Which idea has the most expenses?
___________________________
8. Which idea has the least expenses?
____________________________
9. Which idea earns the most profit?
____________________________
10.Which idea earns the least profit?
____________________________
11. What idea loses money?
____________________________
Copyright National Council on Economic Education
EconEdLink: Earning a Profit Answer Sheet
Name: Date:
Calculate the profit or loss for each of these money-making ideas.
Remember: Revenue - Expenses = Profit or Loss
1. Bracelets. You sell ten bracelets for three dollars each. You have
spent three dollars on cord and nine dollars on beads.
_____________ - _____________= _____________
2. Cookie Sale. At the grocery store you paid ten dollars for the things you
needed to make the cookies. You got twenty dollars for the cookies you
sold.
_____________ - _____________= _____________
3. Can Recycling. At the recycling center, you are paid fifteen dollars for the
cans you collect. Your only expense is one dollar for some bags to put the
cans in.
_____________ - _____________= _____________
4. Raking Leaves. You rake two lawns getting paid five dollars for each.
When the rake you borrowed breaks, you have to replace it. The rake
costs eight dollars. You paid three dollars to print flyers to advertise your
business to your neighbors.
_____________ - _____________= _____________
5. Which idea has the most revenue?
____________________________
6. Which idea has the least revenue?
____________________________
7. Which idea has the most expenses?
___________________________
8. Which idea has the least expenses?
____________________________
9. Which idea earns the most profit?
____________________________
10.Which idea earns the least profit?
____________________________
11. What idea loses money?
____________________________
Copyright National Council on Economic Education
EconEdLink: Earning a Profit Answer Sheet
Name: Date:
Calculate the profit or loss for each of these money-making ideas.
Remember: Revenue - Expenses = Profit or Loss
1. Bracelets. You sell ten bracelets for three dollars each. You have
spent three dollars on cord and nine dollars on beads.
_____________ - _____________= _____________
2. Cookie Sale. At the grocery store you paid ten dollars for the things you
needed to make the cookies. You got twenty dollars for the cookies you
sold.
_____________ - _____________= _____________
3. Can Recycling. At the recycling center, you are paid fifteen dollars for the
cans you collect. Your only expense is one dollar for some bags to put the
cans in.
_____________ - _____________= _____________
4. Raking Leaves. You rake two lawns getting paid five dollars for each.
When the rake you borrowed breaks, you have to replace it. The rake
costs eight dollars. You paid three dollars to print flyers to advertise your
business to your neighbors.
_____________ - _____________= _____________
5. Which idea has the most revenue?
____________________________
6. Which idea has the least revenue?
____________________________
7. Which idea has the most expenses?
___________________________
8. Which idea has the least expenses?
____________________________
9. Which idea earns the most profit?
____________________________
10.Which idea earns the least profit?
____________________________
11. What idea loses money?
____________________________
Appendix E – Sample Activities for Each of the Content Standards
157
Jobs I Can Do to Earn Money
Job #1 . I will be
providing a to .
good/service customers
I think I can be successful because
.
Job #2 . I will be
providing a to .
good/service customers
I think I cam be successful because
.
Job #3 . I will be
providing a to .
good/service customers
I think I can be successful because
.
©Copyright National Council on Economic Education
n
