Economics Unit
Grade 11 University/College CIE3M
Financial Management
and
Business Organizations
By: Charlotte Aust, Jason Brinder, Shamim Todai, and Jessica Woolard
February 23rd 2010
TABLE OF CONTENTS
 GRAPHIC ORGANIZER (Jessica)…………………………………………………………………3
 UNIT DESCRIPTION
o Rationale (Jessica/Charlotte)…………………………………………………………..4
o Image of the Learner (Shamim/Jason)……………………………………………..5
o Design process (Jason)………………………………………………………………....…6
 UNIT EXPECTATIONS
o Expectations (Charlotte)…........................................................................................8
o Unit Synopsis (Shamim)……………………………………………………….............10
 CULMINATING ACTIVITY
o Description (Jessica)………………………………………………………....................16
o Expectations (Charlotte)………………………………………………………............17
o Teacher Process (Charlotte)……………………………………………………….....18
o Student Process (Charlotte)………………………………………………………......23
o Assessment plan (Shamim)……………………………………………………….......26
o CA Handouts
 A- PROCESS
Description of roles (Shamim)...................29
 BRole signups for teacher (Shamim) .........30
 CRole signups for students (Shamim).......31
 DSimulation description (Charlotte)..........32
 EClient profiles (Shamim)...............................33
 FReflection template (Charlotte).................40
 GRecord keeping sheet (Shamim)...............42
 HCompany list (Jason).......................................43
 IStock outcomes (Jason).................................44
 JBusiness investment outcomes (Jessica)....48
 KRandom scenarios (Jessica).........................49
 L- ASSESSMENT
Group participation self-asses (Shamim)...50
 MChecklist for simulation (Charlotte)........51
 NCheckbric for simulation (Charlotte)......52
 OReflection rubric (Charlotte).......................53
 PPresentation rubric (Jessica)......................55
 QPresentation peer-assessment (Jessica)57
 LESSON PLANS
o Lesson 1- To Spend or Save? That is the Question (Jason)…………........59
 Lesson 1 Appendices..................................................................................62
o Lesson 2- Nothing is Ever Free: Personal Financial Planning (Shamim)..65
 Lesson 2 Appendices..................................................................................69
o Lesson 3- Getting Down to Business: Business Organization in Canada
(Jessica) ………………………………………………………..............................75
 Lesson 3 Appendices..................................................................................79
o Lesson 4- Achieving Bang for Your Buck: Profitability (Charlotte)......94
 Lesson 4 Appendices...............................................................................101
2
Financial Management and Business Organizations
CIE3M: The Individual and the Economy
University/College
Culminating Activity: Put Your Money Where Your Mind Is!
Students will act as investment advisors in a role-play group activity. They will decide how to invest their client’s money
and justify their decisions using financial management strategies and economic reasoning.
Expectations & Performance Indicators:
Expectation: identify the financial
planning principles that people
follow when they budget, invest, and
save
Performance Indicator: Students will
reflect on their investment strategies
and justify them within the context
of financial planning principles.
Expectations: evaluate, using financial
criteria (e.g., yield, rate of return,
liquidity, risk), the appropriateness of
different types of financial assets at
different stages of life
Performance Indicator: Students will act
as financial managers and advise clients
on what financial assets to invest in given
their client’s unique characteristics and
preferences
Lesson Overview
LESSON # 1- Spend/Save/Invest……………………
LESSON # 2- Personal Financial Management……..
LESSON # 3- Business Organizations………………
LESSON # 4- Profitability…………………………..
CULMINATING ACTIVITY……………………….
TOTAL
Expectations: communicate the results
of inquiries, using a variety of styles
and forms as well as visual supports
Performance Indicator: Students will
present their scenarios and outcomes to
their client (role-played by their peers)
in an organized and visually pleasing
manner
Unit Evaluation
3 Days
2 Days
3 Days
3 Days
4 Days
15 Days*
Written reflection (analytic rubric)…..……………....… 40%
Group presentation (holistic rubric)……………………..15%
Individual delivery in presentation (holistic rubric)……25%
Self-assessment of group participation……….…..……..10%
Peer assessment of another group’s presentation………..5%
Simulation checklist ………………………...……………5%
*based on 75 minute periods
3
Rationale for the Unit: Financial Planning and Business
Organizations (Unit 3)
The purpose of this unit is to emphasize the economic decision making skills
required in financial planning and to provide students with opportunities to develop
their own decision making and critical thinking skills in this context. Current
economic realities, fueled by unsustainable borrowing, illustrate the importance of
teaching these principles to students. Understanding how to make informed
financial decisions not only improves the student’s economic welfare but also
contributes to the betterment of the Canadian economy through increasing the
financial literacy of Canadian citizens.
This unit uses and applies the skills developed in the previous two units, The
Nature and Importance of Economics and the Supply and Demand and the Market
for Labour. In particular it expands on decision making tools and applies student
knowledge of supply and demand to investment markets. Key concepts of financial
literacy and planning tools for making financial decisions will be introduced to
students and they will be provided opportunities to apply learned knowledge and
skills in real world simulations. Students will also learn the types of businesses that
exist and how they are organized. By examining decision making from both the
macro and micro perspectives, students will understand how financial decisions at
both levels involve risk and individual considerations.
Skills and concepts covered in this unit will be applied in the final
culminating activity, where students act as financial advisors to a client and manage
the client’s asset portfolios during a four year simulation. Student interest is
maintained throughout the unit by simulating authentic careers and real world
activities, appealing to different levels of think inking, and the use of both group and
independent work. The competition component of both the culminating activity,
where they act as competing firms, and stock monitoring, where they act as an
individual investors, will provide real world motivations for engagement within an
inclusive classroom environment.
4
Image of the Learner
The Grade 11 Individual and the Economy is a University/College
preparation course (CIE3M). This unit on Financial Management and Business
Organization is recommended to be used as the third unit in the course, thus
assuming that students have already covered topics including, The Nature and
Importance of Economics as well as Supply and Demand and the Market for Labour.
This implies that students have a familiarity with economic language and are
comfortable using basic economic vocabulary.
The class is modeled after a secondary school that meets and/or exceeds all
provincial standards and is located in the city of Mississauga. The city of
Mississauga is a middle class suburb located west of Toronto. The approximate
number of students in the class is 28 with a near perfect gender split. Although the
students come from diverse cultural backgrounds, majority of the students (75%)
were born in Canada. Half of the students are assumed to be intrinsically motivated
to pursue learning at the post-secondary level while the other half of the class took
this course to fill their timetable and had no real interest in economics or pursuing
theory before taking the course.
The school ensures that every student has access to computer labs and that
the internet is available for classroom research. It is assumed that all students have
access to a computer and internet at home. Although students do have access to
current technologies, the socioeconomic status of students varies from the poverty
line to wealthy.
Students taking this course are between the ages of 15 – 17 and demonstrate
varying level of maturity but high levels of respect towards the teacher as well as
their classmates. They are familiar with the expectations of cooperative group work
and are comfortable with the variety of teaching and assessment strategies used to
accommodate their diverse learning styles. Students are encouraged to participate
in class discussions using proper listening and communication skills. They are able
to read charts and graphs and are capable of analyzing the synthesizing information.
Students are becoming disengaged with the vast amount of foundational
knowledge and have voiced their opinion to have more applied/relevant activities.
Special Accommodations
This economics class has 2 stage-four and 1 stage-five English Language
Learners (ELL)1 who work well in groups but have varying comfort levels
presenting. The class is also comprised of one special education student who’s
Individual Education Plan (IEP) states that the individual has poor motor skills and
is accommodated by the use of a laptop computer to type notes. If this requirement
cannot be met, then this student requires photocopied notes from peers (or teacher
notes).
1
Stage 4 ELL students have reached a level of English proficiency to be introduced to the Ontario Secondary School
(OSS) English course selections at the junior (grade 9 and 10) level. Stage 5 ELL learners have had one additional
English as a Second Language (ESL) course than the stage 4 ELL students and are being introduced to the OSS senior
level English course selections (grade 11 and 12).
5
Design Process
The design process was a challenging yet fun experience where all group
members worked together equally to achieve our goals. We were productive from
the moment we started working together, collaborating our efforts and establishing
specific roles for the unit design. During our first meeting we collectively did the EIF
and GRASP tests to make sure we were on the right track. We also had a culminating
activity discussion where we made a basic framework, which is one of the most
important decisions. We also came up with a team name, “The Wall Street
Wanderers” which allowed us to become a real team.
Over the next week we got both the EIF and GRASP tests approved which
allowed us to go forward. We finalized our image of the learner, which helped guide
our culminating activity and consideration of accommodations. After two more
meetings we had a strong sense of what our culminating activity would be so we
itemized the required handouts and met one week later to review and improve
them as a team. We then assigned each member a lesson for which we were
independently responsible. Each team member emailed the planning manager a
bulleted summary of their key concepts covered, assessment tools used, and how it
related to the culminating activity to assure all plans were aligned.
A week prior to storefront, we assembled our unit and edited the appropriate
aspects to ensure that it was up to our high level of standards. We then took a
couple days to individually review the unit and communicated with one another
about any minor revisions via email. For the most part we stayed within our selfassigned roles, however we also came together collectively to contribute to the
storefront concept and preparation.
Through the use of backward design, we believe we have developed an
authentic activity that effectively covers ministry expectations for this course. We
take great pride in the work that we achieved together as a team. Everyone’s efforts
were equally weighted and we took advantage of each individual member’s
strengths.
6
Financial Management
and
Business Organizations
UNIT DESCRIPTION
7
Unit Expectations
Lesson 1: Spend/Save/Invest
Overall Expectations
 EMV.02 - explain the principles of sound personal financial planning
 ESV.01- analyse the factors that influence consumer demand and satisfaction
in the marketplace
 SIV.01 - explain how self-interest in a market makes consumers and
producers interdependent
 MEV.01 - use methods of economic inquiry to locate, gather, evaluate, and
organize information from a variety of sources
 MEV.02 - analyse specific economic situations, using appropriate economic
concepts, models, and methods of economic inquiry
Specific Expectations
 EM2.04 - describe how saving benefits the individual and the economy
 EM2.05 - describe different forms of savings income (e.g., interest, dividends,
capital gains, rent) and how they benefit the individual and the economy
 ES1.04 - analyse choices and determine the best method of payment (e.g.,
cash, credit, loan, rent, lease) for major consumer purchases (e.g., cars,
accommodation)
 SI1.02 - describe the criteria that consumers and producers each use to
determine which of several choices is in their own best interest
 ME1.02 - evaluate the usefulness of economic information by considering the
reliability of its source (e.g., authority, expertise, impartiality) and the quality
of its content (e.g., use of logical arguments supported by evidence, absence
of bias, avoidance of unsubstantiated assumptions)
 ME2.01 - interpret current financial information from various sources (e.g.,
information from banks or stock markets that incorporates statistics and
forecasts)
Lesson 2: Principles of Financial Planning
Overall Expectations
 EMV.02 - explain the principles of sound personal financial planning
 MEV.02 - analyse specific economic situations, using appropriate economic
concepts, models, and methods of economic inquiry
Specific Expectations
 EM2.01 - identify the financial planning principles that people follow when
they budget, invest, and save (e.g., start saving early, take advantage of
compound interest, recognize the value of diversification)
 EM2.03 - evaluate, using financial criteria (e.g., yield, rate of return, liquidity,
risk), the appropriateness of different types of financial assets at different
stages of life
 ME2.04 - use methods of economic inquiry (e.g., cost-benefit analysis) to
evaluate an economic choice from the perspective of affected stakeholders
8
Lesson 3: Business Organizations
Overall Expectations
 EIV.02 - explain the functions of markets, profits, and the process of
economic decision making in the private sector
 MEV.02 - analyse specific economic situations, using appropriate economic
concepts, models, and methods of economic inquiry
Specific Expectations
 EI2.04 - compare the characteristics of the different structures of business
organizations (i.e., sole proprietorship, partnership, corporation,
cooperative)
 EI2.05 - compare the characteristics of firms and of competition in perfectly
and imperfectly competitive markets (e.g., monopoly and oligopoly)
 SI3.01 - describe examples of how the self-interest of different stakeholder
groups may conflict (e.g., consumers and producers, workers and
management/shareholders)
 ME2.03 - use economic models (e.g., competitive market) to analyse
economic relationships and to forecast outcomes (e.g., how changes in supply
and demand will affect price and output)
Lesson 4: Profitability
Overall Expectations
 ESV.04 - describe the economic rights and responsibilities of citizens
 EIV.02 - explain the functions of markets, profits, and the process of
economic decision making in the private sector
 MEV.02 - analyse specific economic situations, using appropriate economic
concepts, models, and methods of economic inquiry
Specific Expectations
 ES4.03 - analyse a current issue (e.g., pollution), identifying how the
economic rights of individuals must be balanced by economic responsibility
and public accountability
 EI2.02 - explain the importance of profit in the private sector and the factors
that determine the profitability of a business (e.g., demand, production costs,
amount of competition)
 EI2.03 - explain how producers determine the most efficient way to use
resources and how much to produce
 ME2.02 - use economic concepts (e.g., supply and demand) to analyse and
describe an economic reality or choice
9
Unit Synopsis
During this unit, students will understand the Ontario Ministry of Education expectations of business organizations and
financial management which is an essential necessity for all students. This unit will ensure that Ontario Grade 11 Economics
students taking CIE3M are comfortable with the structure of Business Organizations as well as their own Personal Finance.
The unit is broken down into multiple lessons, simulations as well as presentations. The entire unit requires 15 days,
estimated at 75 minutes per day, for completion of all the lessons, activities, assessments and presentations. During the
presentation component, at the end of the unit, time must be provided for the students to work on and complete the group
presentation and therefore, with one day provided as a work day and a delay of one day before presentations, one day has
been built in where the next lesson must be started to be taught before the presentation date itself. Below is a brief layout of
the days required for the unit:
DAY(S)
DESCRIPTION
1-3
Lesson #1
4-5
Lesson #2
6-8
Lesson #3
9-11
Lesson #4
12
Simulation Day #1
13
15
Simulation Day #2
Work Period – Reflections and
Presentations
NEW UNIT STARTS HERE
16
Presentation Date!*
14
10
Provided below is a synopsis table describing the lesson, teaching strategies and expectations of each lesson of the unit.
Lesson Title
/ Duration
LESSON 1
Lesson Description




Students will learn how to conduct
appropriate research
Students will learn how to use
internet resources to find relevant
information for purchasing decisions
Students will create a company
profile
Students will then, in Lessons 2 and
3, learn the different options they
have to spend and save
Teaching/Learning
Strategies
(Achievement Chart
Categories)
Athlete Purchase (K/U)
Research (K/U, T/I, A)
Company Profile (K/U,
T/I, A)
11
Expectations
EM2.04 - describe how saving
benefits the individual and the
economy
EM2.05 - describe different forms
of savings income (e.g., interest,
dividends, capital gains, rent) and
how they benefit the individual
and the economy
ES1.04 - analyse choices and
determine the best method of
payment (e.g., cash, credit, loan,
rent, lease) for major consumer
purchases (e.g., cars,
accommodation)
SI1.02 - describe the criteria that
consumers and producers each use
to determine which of several
choices is in their own best
interest
ME1.02 - evaluate the usefulness
of economic information by
considering the reliability of its
source (e.g., authority, expertise,
impartiality) and the quality of its
content (e.g., use of logical
arguments supported by evidence,
absence of bias, avoidance of
unsubstantiated assumptions)
ME2.01 - interpret current
financial information from various
sources (e.g., information from
banks or stock markets that
incorporates statistics and
forecasts)
LESSON 2
NOTHING IS EVER
FREE:
PERSONAL
FINANCIAL
MANAGEMENT
2 Days





Students will get a good idea of how
much they spend on a daily, weekly,
and a monthly basis.
Students will compare differences in
monthly spending dependent on
months to show higher and lesser
spending habits
Students will be able to predict costs
of future endeavors.
Students will plan how much money
they might need in the coming 5
years to pay purchases of their
choice.
Students will draw upon their
knowledge of financial vehicles from
previous lessons and apply it into a
personal financial action plan.
Research Homework
(K/U, I)
Partnered Financial
Planning (K/U, T/I, A)
Exit Card / Reflective
Work (K/U, C)
12
EM2.01 - identify the financial
planning principles that people
follow when they budget, invest,
and save (e.g., start saving early,
take advantage of compound
interest, recognize the value of
diversification)
EM2.03 - evaluate, using financial
criteria (e.g., yield, rate of return,
liquidity, risk), the
appropriateness of different types
of financial assets at different
stages of life
ME2.04 - use methods of
economic inquiry (e.g., cost
benefit analysis) to evaluate an
economic choice from the
perspective of the affected
stakeholders
LESSON 3
GETTING DOWN
TO BUSINESS:
BUSINESS
ORGANIZATIONS
3 Days
LESSON 4
ACHIEVING BANG
FOR YOUR BUCK:

Students will learn the types of
business organizations and identify
the advantages of disadvantages of
each structure.
 Students will apply this knowledge
by reading about how different candy
companies emerged and considering
and considering what type of
business structure they would advise
the new companies to choose.
 Students will connect to the realworld by researching locallyoperating companies and questioning
the structure of their business model.
 Students will communicate their
understanding through minipresentations and a written business
profile
 Students will investigate how
businesses are structured in
competitive and non-competitive
markets through brainstorming types
of companies in both markets and
reflecting on similarities and
differences
 Students will gain an understanding
of the importance of profit for
businesses in the private sector
 Students will identify factors
affecting profitability
Advantages/
Disadvantages matching
(K/U)
Role play (acting as
business consultants) (A)
Group research on a local
company(T/I)
Writing a business
profile (C)
Mini-presentation (C)
Brainstorm (T/I)
Cooperative Learning
Strategies- TPS, Placemat
Adaptation, Numbered
Heads (K/U, T/I, A)
13
EI2.04 - compare the
characteristics of the different
structures of business
organizations (i.e., sole
proprietorship, partnership,
corporation, cooperative)
EI2.05 - compare the
characteristics of firms and of
competition in perfectly and
imperfectly competitive markets
(e.g., monopoly and oligopoly)
SI3.01 - describe examples of
how the self-interest of different
stakeholder groups may conflict
(e.g., consumers and producers,
workers and
management/shareholders)
ME2.03 - use economic models
(e.g., competitive market) to
analyze economic relationships
and to forecast outcomes (e.g.,
how changes in supply and
demand will affect price and
output)
ES4.03 - analyse a current issue
(e.g., pollution), identifying how
the economic rights of individuals
must be balanced by economic
responsibility and public
PROFITABILITY
3 Days
 Students will investigate how the
profitability of the business they
investigated in Lesson 3 is impacted
by these factors (will be used in CA)
 Students will learn about how
producers determine efficient
resource allocation
 Students will critically analyze the
impacts of our current methods of
production on our planet
 Students will understand
expectations for CA
Direct Instruction (K/U)
Note-taking from Audio
Clip (K/U, C)
Role Play (Truffles
Decisions) (T/I, A)
Research and Profile
Creation (T/I)
Group Presentations (C)
14
accountability
EI2.02 - explain the importance of
profit in the private sector and the
factors that determine the
profitability of a business (e.g.,
demand, production costs, amount
of competition)
EI2.03 - explain how producers
determine the most efficient way
to use resources and how much to
produce
ME2.02 - use economic concepts
(e.g., supply and demand) to
analyse and describe an economic
reality or choice
Financial Management
and
Business Organizations
CULMINATING ACTIVITY
15
Culminating Activity- Put Your Money Where Your Mind Is!
Major Details
Description
This unit’s culminating activity, Put Your Money Where Your Mind Is, provides
students with an opportunity to apply what they have learned in unit lessons in an
investment simulation. Through role play, students will develop their decision
making-skills while managing a wealthy client’s asset portfolio. The use of group
learning will allow students to learn from one another while intergroup competition
will provide them with additional motivation to succeed within the activity.
The main components of this activity include 1) an investment simulation, 2)
a journal reflection describing decisions made and lessons learned, and 3) a
presentation where student can communicate their scenario and discoveries to the
class. The simulation ensures students have an opportunity to apply their newfound
economic and financial knowledge to make wise decisions in the simulated role play.
By including individual journal reflections each student will be accountable for
articulating their group’s investment strategies. Knowing they are responsible for
journal entries as well as a class presentation will help students think critically
about the choices they make rather than simply invest their client’s money
randomly.
Assessment of the culminating activity consists of a variety of strategies and
students are assessed at the individual and group levels with criteria provided prior
to assessment (see student process). This unit’s lessons are filled with formative
assessment around the skills required to be successful in this activity. Therefore, all
summative evaluation for this unit is associated with the culminating activity. The
teacher will assess each student’s journal reflection (40%) using an analytic rubric;
will assess student presentations using a holistic rubric at the group (content-15%)
and individual (delivery-25%) levels; and will assess their participation in the
simulation (5%) at the group level using a checkbric. A presentation peerassessment checkbric (how accurately a student assesses a peer presentation) and
group participation self-assessment checkbric will also be used to encourage
assessor variety. Rubrics and other assessment tools are provided in Handouts L-Q.
16
Culminating Activity Expectations
Specific Expectations that are being addressed:
EM2.01 - identify the financial planning principles that people follow when they
budget, invest, and save (e.g., start saving early, take advantage of compound
interest, recognize the value of diversification)
EM2.03 - evaluate, using financial criteria (e.g., yield, rate of return, liquidity, risk),
the appropriateness of different types of financial assets at different stages of life
EI2.02 - explain the importance of profit in the private sector and the factors that
determine the profitability of a business (e.g., demand, production costs, amount of
competition)
EI2.04 - compare the characteristics of the different structures of business
organizations (i.e., sole proprietorship, partnership, corporation, cooperative)
ME1.02 - evaluate the usefulness of economic information by considering the
reliability of its source (e.g., authority, expertise, impartiality) and the quality of its
content (e.g., use of logical arguments supported by evidence, absence of bias,
avoidance of unsubstantiated assumptions)
ME2.04 - use methods of economic inquiry (e.g., cost-benefit analysis) to evaluate
an economic choice from the perspective of the affected stakeholders
ME3.01 - communicate the results of inquiries, using a variety of styles and forms
(e.g., reports, essays, discussions, presentations), as well as visual supports (e.g.,
charts, graphs, computer presentations)
17
The Teacher Process
The Culminating Activity will be introduced in the first lesson of this unit. This
allows students to understand how they will be evaluated and to prepare
themselves for the summative assessment portion of the unit. Tasks that are
completed by students throughout the unit will be used in the CA, making the CA
truly authentic. Students will have a deep understanding of the stock profiles and
business profiles they encounter during the CA as they created them.
Each lesson builds on one another and students develop the skills they need to be
successful during the succession of lessons. Each lesson incorporates numerous
connections to the CA and these are explained in greater detail in the individual
lesson outlines.
The following guidelines should be followed to ensure smooth execution of the CA.
Note: the handout titles are bolded and are listed at the point in the unit when they
should be distributed.
Days 1-3: Lesson 1: Spend/Save/Invest
Introduction to the CA:
The CA activity should be introduced on the first day of the unit. While the unit
objectives are being discussed, the CA should be presented and the first page of the
Student Process should be distributed.
Stock Profile Creations:
Students will choose a publicly traded company from the Company List (Handout
H). Students will track their chosen stock over the course of the unit and they must
write a profile for their chosen company. Details about the selection process, profile
criteria and an exemplar can be found in Lesson 1. A selection of these profiles will
be presented to the students during their CA as investment options.
Essential Knowledge and Skills for the CA:
Students will consider several different investment options and learn about the
differences between spending, saving and investing. They will have to make
decisions between these options during the CA. Students will also learn to assess the
reliability of information which will be used to critique the advice of financial
analysts.
Days 4-5: Lesson 2: Personal Financial Management
Essential Knowledge and Skills for the CA:
Students will be asked to consider financial goals that they wish to achieve – which
can be transferred to the CA when considering the goals of their clients. Students
18
will gain insight on how basic financial vehicles work and how they may not be the
best way to achieve their goals but are the safest. Students will be asked to complete
an exit card – which will prepare them for the reflection cards at the end of each CA
year/period. Students will gain confidence from their decision-making experience,
which will help groups make decisions during the CA.
Days 6-8: Lesson 3: Business Organizations
Group Formation:
The CA groups will be assigned during this lesson. This will allow students enough
time to work through the “forming,” “storming,” “norming” and “performing” stages
identified in the literature of group dynamics. Students will partially self-select into
their groups by identifying five people they would like to work with. The teacher
will then finalize groups with the aim of mixing academic achievement, strengths,
gender, and interests. This strategy will ensure heterogeneous groups and prepare
students for the workplace, where they will often work with pre-determined teams
of diverse individuals. This rationale should be explained to the students; however
students should be assured that they will have at least one student from their
selection on their team. This will allow them to feel as though they have input into
the group formation process, validating the end result and ensuring a reasonable
comfort level in the group.
Business Profiles:
Business profiles written by students will be used as possible investment
opportunities for the CA. Although formative, it will be assessed using a checkbric
so students are familiar with one of the tools with which they will be evaluated in
the CA.
Essential Knowledge and Skills for the CA:
Students will develop an understanding of the different types of business
organizations and think about advantages and disadvantages of these types.
Students will use this knowledge when making business investment decisions
during the CA. Students will do mini-presentations regarding their businesses to
increase their comfort level speaking in front of the class. Students will also roleplay as consultants. They will read client profiles of people who want to start a new
business in the sweets industry and offer them advice on what type of business
organization the client should select. This will familiarize them with role-playing
and applying their economic knowledge to make decisions; both skills will be
assessed in the CA.
Days 9-11: Lesson 4: Profitability
CA Details:
It is during this three-day lesson, that the CA will be fully explained. Every student
must have a deep understanding of the process by the end of this lesson in order for
things to run smoothly when the simulation begins on Day 12.
19
On Day 9, the remainder of the student process and the Simulation Description
(Handout D) should be distributed to each student. The Consultant Role
Descriptions and Signups (Handouts A, B, C) should be distributed to each group
and each group must complete the signup sheet for submission the next day.
On Day 10, students will have to submit their role signups. All assessment handouts
will be distributed to every student. These are the Group Participation SelfAssessment(Handout L), the Checklist for Simulation (Handout M), the
Checkbric for Simulation (Handout N), the Reflection Rubric (Handout O), the
Presentation Rubric (Handout P) and the Presentation Peer-assessment
(Handout Q).
On Day 11, the process, purpose and requirements will be discussed again and
questions will be answered. All students must have a firm understanding of what
will take place during the next period.
Business Profiles Profitability Addition:
Students will write an addition to the business profiles they created in Lesson 3.
They will make connections to profitability, which is important to consider when
investing in businesses. There is a greater detail about this addition to the profile in
the lesson outline, including a checkbric for assessment. These profiles will be used
in the CA for business investment opportunities.
Essential Knowledge and Skills for the CA
During this lesson, students learn about profitability and consider the profitability of
several businesses. This is important for the CA as they will have the opportunity to
invest in businesses and they should be considering profitability during this
decision-making process. Also in this lesson, students give a brief presentation and
they peer-assess each other’s presentations. The criteria they use are taken from the
criteria by which they will be evaluated in their presentations in the CA.
Planning for Days 12-13:
It is essential that this setup occur before the first simulation day on Day 12. The
teacher needs to choose five stock profiles written by students that can be used for
stock investment opportunities. There are currently placeholders used in the Stock
Outcomes (Handout I), so if different companies are chosen, the outcomes may
need to be adjusted. This needs to be done prior to Day 12 and the teacher must be
ready to give out the stock profiles and outcomes during Days 12-13.
Similarly, for the business investments opportunities there are currently
placeholders/examples in the Business Opportunities/Outcomes (Handout J).
Business Profiles should be chosen from the ones that students produced during
Lessons 3 and 4. The outcomes can be tweaked based on the profiles selected. It
would be advisable to have outcomes suited to the profiles so that decision-making
20
can be evaluated. In addition to the student-created profiles, the teacher could
create additional business investment opportunities. Business profiles that are
similar to those chosen from the students could be fabricated with small key
differences. This would allow the teacher to evaluate students’ decision-making
abilities because students will have to make choices based on some factor, with all
else held constant.
Finally, the Random Outcomes (Handout K) should be sorted by each of the seven
teams. Some of them may be more appropriate for certain clients and it would make
sense to balance out random events to some extent. Events can be used for multiple
teams and the teacher can create new events. Not only do the events need to be
sorted by team, the events also need to be planned out for when they are going to be
distributed (the options are at the start of Year 2, Year 3 or Year 4). The events
should be on individual strips of paper, ready to be distributed at the right moment.
Finally, a team portfolio (folders) must be put together for each team. Each portfolio
should contain one Client Portfolio (Handout E), 16 Reflection Templates
(Handout F), and 2 Record Keeping Sheets (Handout G). There are seven client
portfolios so one should be assigned to each team.
Days 12-13: Simulation
The schedule for both simulation days is as follows:
5 minutes: Setup
20 minutes: Year 1 decision time (Year 3 for class period 2)
10 minutes: Reflection time
5 minutes: Setup
20 minutes: Year 2 decision time (Year 4 for class period 2)
10 minutes: Reflection time
5 minutes: Cleanup
The teacher must keep a stopwatch going and ensure that the schedule is
maintained.
During the first setup period, teams will be given their portfolio (folder), which will
be kept by the record keeper (or designate). The team should record their team
name as well as their names on the folder. Teams will read through their client
portfolios and prepare for decision time. The teacher must also distribute the Stock
Profiles and the Business Investment Opportunities before the decision time.
The reflection time can be used for the teacher to get prepared for the next year.
During the subsequent setup time, the teacher should be distributing random events
to specific teams as well as the outcomes for the stocks and business investment
opportunities to every team.
21
Day 14:
This is a work period for students. Their reflections are due in Day 15 and team
presentations will occur during Day 16. It is important that the teacher begins this
period revisiting the criteria for the presentation and the reflection and reading
through the rubrics with the students to ensure they are understand the
assessment. The self-assessment for group participation is also due on Day 15 so
students can work on this as well.
Day 15:
Scheduled for this period is the start of the next unit. This gives the students more
time to work on their presentations outside of class time. However, if anything
needs to be rapped up from this unit or from the CA, it can take place during this
day.
Day 16:
This is presentation day. The teacher must assign a peer-assessing group for each
group’s presentation.
22
The Student Process
Put Your Money Where Your Mind Is!
Financial Management and Business Organization Culminating
Activity
Congratulations! You and your renowned team of consultants have been hired to
manage a wealthy client’s portfolio. You will be provided with information about
this client and will manage his/her portfolio over a period of four years. These four
years will take place over two class periods at the end of this unit. The schedule for
these periods is as follows:
5 minutes: Setup
20 minutes: Year 1 decision time (Year 3 for class period 2)
10 minutes: Reflection time
5 minutes: Setup
20 minutes: Year 2 decision time (Year 4 for class period 2)
10 minutes: Reflection time
5 minutes: Cleanup
The knowledge and skills you will learn in this unit related to financial management
and business organization will help you make the best decisions for your client. Each
year you must make the following decisions:
1. How much to save. Savings earn a low rate of interest, at 2% per year, but can
be withdrawn at any point in time.
2. You have the option to buy, sell or hold shares from 5 different publiclytraded companies. You will be provided with the stock profiles as well as
what analysts are saying about the companies each year.
3. You have the option to invest in a number of businesses based on the profiles
you will be provided with.
Simulation Details:

See the Simulation Description Handout for a full outline of the simulation, as
well as the simulation rules.
Manager Roles:

Each member of your team will choose a manager role. The Description of
Roles Handout provides information about the various expectations
associated with each role. Each member of the team must signup for a role.
23
Criteria for Reflections:
1. You will be given time after each decision period to reflect on your decisions
and complete the reflection template. Use this time wisely; it is the time when
your ideas and decisions are still fresh in your mind!
2. You must submit your first two reflection templates at the end of the first
simulation day. They will not be evaluated at this point but this will allow for
a check on your progress. Your templates will be returned at the start of the
next period.
3. All four reflection templates must be completed and submitted at the start of
the second class following the last simulation day.
4. These can be hand-written as you will most likely be able to finish them
during the reflection period in class. However, they must be legible or they
will not be graded. If necessary or preferred, you can submit typed answers.
5. You must also submit one typed paragraph (of at least ten lines) that answers
the following question, “What is the most significant thing you learned from
the simulation and how can you apply this new understanding to your life?”
This is also due on the second day following the simulation.
6. You will be evaluated based on the attached rubric.
Criteria for Presentations:
CONTENT
 Slides and presentation sequence- The presentation organized logically with
ideas presented sequentially. An outline slide should be included to let your
audience know how the presentation is structured and help you focus your
ideas. Slides and images should be creative but relevant to information being
presented with no spelling errors or formatting mistakes. Slides should not be
filled with words, use them simply as a guide for your main talking points. View
the online exemplar of a slide decks.
 Outcome report- portfolio information for the four years must be reported. This
includes how much you started with, the value after each “year” and the final
value. The total growth (as a percentage of the original portfolio size) must be
clearly reported.
 Justification of key decisions/strategies- Several explanations are given to justify
investment decisions which are based in sound economic reasoning. This should
include referencing considerations unique to your client.
 Reflection- Includes at least one thing that your firm did well and at least one
thing that could have been done differently. Be sure to explain why you chose
these two examples.
 Economic language & understanding- Use economic language appropriately and
often. Integrate the key terms that we have learned over this unit as well as
24
since the beginning of the course. Make an effort to demonstrate your
understanding of key concepts from this unit (i.e. profitability, investment,
interest rates, ownership structure, risk, etc.)
DELIVERY



Confidence and engagement- Look at all audience members when presenting
and avoid using your notes as much as possible. Resist reading off of the slides
(this can be avoided by keeping your slides simple).
Physical communication- Project your voice so that people can hear you at the
back of the room. Use confident body language: avoid crossing your arms,
putting hands in your pockets or fidgeting with items.
Participation- Develop a “script” with your team so people know who is speaking
and when. Be sure that every team member has a speaking role in the
presentation. (Absentee policy: You must notify the teacher of any unavoidable
absences with at least three days notice. Absences as a result of illness require a
doctor’s note or they will affect your mark).
Assessment and Evaluation:
The following table shows the overall evaluation plan for the CA (Details for each
assessment are included in the Assessment Handouts):
Task
Tool
Simulation
Checklist
Simulation
Checkbric
Group
Checkbric
Participation
Analytic
Reflections
Rubric
Presentation Checkbric
Holistic
Presentation
Rubric
Achievement
Chart
Category
Group/
Individual
Assessor
Value
A
T/I, A
Group
Group
Self
Teacher
Formative
5%
T/I, C
Individual
Self
10%
K/U, T/I, C, A
Individual
Teacher
40%
K/U, C
Group
Peer
5%
K/U, T/I, C, A
Group/Individual Teacher
Total
25
40%
100%
Unit Assessment Plan
During this unit, students will be assessed constantly for Knowledge and
Understanding with the use of formative assessments. Understanding the Ministry
expectations of business organizations and financial management is an essential
necessity for all students. This unit will ensure that Ontario Grade 11 Economics
students taking CIE3M are comfortable with the structure of Business Organizations as
well as their own Personal Finance.
The formative assessments will allow the teacher to know where modifications to
the lesson must be made as well as help students be confident that they understand the
course material. Along with formative assessments – which come in a variety of delivery
tools – the culminating activity will use a multitude of assessments, assessment tools
and assessors. This will involve the students in their own learning and assessment
strategy to provide a built-in accountability from the student.
Below is a list of all the assessment tools, strategies and information required for
each of the lessons within the unit as well as a breakdown of the culminating activity
assessment plan.
Lesson 1: Spend, Save, Invest
Task
Athlete
Purchase
Reasoning
Tool
Check for
understanding
Research
Check for
understanding
Company
Profile
Check for
completion
and
understanding
Achievement
Chart Category
Knowledge/
Understanding,
Knowledge/
Understanding,
Thinking/Inquiry,
Application
Knowledge/
Understanding,
Thinking/Inquiry,
Application
Assessor
Teacher
Value
Diagnostic
Self/Peer/Teacher Formative
Teacher
Formative
Lesson 2: Personal Financial Planning
Task
Research
Homework
Tool
Achievement Chart
Category
Check for
Knowledge/Understanding,
completion and
Thinking./Inquiry
understanding
26
Assessor
Self/Peers
Value
Formative
Partnered
Financial
Planning
Check for
understanding
Exit Card /
Reflective
Work
Check for
understanding
Knowledge/
Understanding,
Thinking/Inquiry,
Application
Knowledge/
Understanding,
Communications
Teacher
Formative
Self/Teacher
Formative
Lesson 3: Business Organization
Task
Tool
Achievement Chart
Category
Advantages/
disadvantages
match group
activity
Check for
understandi
ng
Knowledge/Understanding
Self/Teacher Formative
Role Play
Check for
understandi
ng
Thinking/Inquiry,
Application
Self/Teacher Formative
Written
business
profile
Checkbric
Communication
Self/Teacher Formative
Assessor
Value
Lesson 4: Profitability
Task
Factors
Influencing
Profitability
Profitability
Addition to
Business
Profiles
Truffles Note
Taker
Truffles Group
Discussion
Tool
Achievement Chart
Category
Assessor
Value
Observation
Knowledge/Understanding
Teacher
Formative
Checkbric
Thinking/Inquiry,
Application
Teacher
Formative
Self/Peer
Formative
Teacher
Formative
Observation
Observation
Knowledge/Understanding,
Communication
Thinking/Inquiry,
Application
27
“Story of Stuff”
Question
Responses
“Story of Stuff”
Brief
Presentations
Observation
Thinking/Inquiry,
Application
Teacher
Formative
Checklist
Communication
Peer
Formative
Culminating Activity: Put Your Money Where Your Mind Is!
Task
Tool
Simulation
Checklist
Simulation
Checkbric
Group
Participation
Checkbric
Reflections
Analytic
Rubric
Presentation
Checkbric
Presentation
Holistic
Rubric
Achievement Chart
Category
Application
Thinking/Inquiry,
Application
Thinking/Inquiry,
Communication
Knowledge/Understanding,
Thinking/Inquiry,
Communication,
Application
Knowledge/Understanding,
Communication
Knowledge/Understanding,
Thinking/Inquiry,
Communication,
Application
Assessor
Value
Self
Formative
Teacher
5%
Self
10%
Teacher
40%
Peer
5%
Teacher
40%
Total
100%
The assessment tools used in the Culminating Activity, above, are not necessarily
marked at the same percentage weight shown above. Additional calculations will be
required on the part of the teacher. Some assessments are assessed or evaluated on
scales significantly above the percentage weight – for example, the Group Participation
Checkbric that is worth 10% of the Summative evaluation is a 4 part checkbric, with
each calculated out of 33 marks. Therefore, the total possible points equal 132 but it is
only weighted at 10%. Therefore it is the teacher’s responsibility to pay attention to the
assessment weighting scheme outlined above.
28
CONSULTANT ROLES - Put Your Money Where Your Mind Is!
In this activity, you will be working in groups of 4 as a consulting group. Your consulting
group has been hired to spend, save and invest a specific client’s money. The four of you
in your group each have a unique role within your consulting group.
Read the descriptions below and decide who in your group will play each of the
managers. Each group member must be assigned a role and that role will be your role
for the entire project.
A. Market Analyst
 Will relay information from the teacher to team members about stock
information and unexpected occurrences as they happen
 Will be required to research the investments as your group requires to make
their decision
 Will be responsible for facilitating research and having questions answered as
they arise within the group
 Will be expected to speak and provide information equally during the
presentation
B. Financial Planner
 Will be responsible for keeping the team motivated and on task
 Will work alongside all members of the team to make financial decisions
 Will be the responsible for finding out how financial calculations are to be done
 Will be expected to speak and provide information equally during the
presentation
C. Communications Representative
 Will relay information about the presentation between the teach and the group
 Will collect and hand in all checkbrick sheets to the teacher from all team
members after every round
 Will be expected to speak and provide information equally during the
presentation
 Will take the lead role in compiling the information provided from all team
members into the final presentation (for handing in)
D. Record Keeper
 Will be responsible for filling in and handing in the record keeping sheet every
“year” of the project – all 4 times
 Will be responsible for handing out all checkbricks and assessments to team
members at the appropriate times during the activity
 Will be in charge of the portfolio (folder) and records at all times
 Will be expected to speak and provide information equally during the
presentation
29
CONSULTANT ROLES - Put Your Money Where Your Mind Is!
Once you have decided on your roles, come up with a creative team name that
represents your Consulting Group’s Identity. Record your consulting team name as well
as your name beside your consultant role.
Record Keeper  Fill out this sheet and keep one copy in your team’s portfolio and hand
in the second copy to the teacher.
CONSULTANT GROUP NAME:
CONSULTANT ROLES:
(Come up with a creative Consulting Group name.)
(Fill in one team member’s name beside each role.)
MARKET ANALYST:
____________________________________
FINANCIAL PLANNER:
___________________________________
COMMUNICATIONS REPRESENTATIVE:
____________________________________
RECORD KEEPER:
____________________________________
By writing my name beside the roles above, I hereby agree to fulfill this role and assist
my team members during the entire project.
Teacher’s Copy – To be handed in
30
CONSULTANT ROLES - Put Your Money Where Your Mind Is!
Once you have decided on your roles, come up with a creative team name that
represents your Consulting Group’s Identity. Record your consulting team name as well
as your name beside your consultant role.
Record Keeper  Fill out this sheet and keep one copy in your team’s portfolio and hand
in the second copy to the teacher.
CONSULTANT GROUP NAME:
CONSULTANT ROLES:
(Come up with a creative Consulting Group name.)
(Fill in one team member’s name beside each role.)
MARKET ANALYST:
____________________________________
FINANCIAL PLANNER:
____________________________________
COMMUNICATIONS REPRESENTATIVE:
____________________________________
RECORD KEEPER:
____________________________________
By writing my name beside the roles above, I hereby agree to fulfill this role and assist
my team members during the entire project.
Group Copy – To be kept in the portfolio
31
Simulation Description

Your team of consultants will simulate investment decisions and financial
planning for your client.

The simulation takes place over four years, which happen over the course of two
75-minute class periods.

The schedule for each class period is as follows:
5 minutes: Setup
20 minutes: Year 1 decision time (Year 3 for class period 2)
10 minutes: Reflection time
5 minutes: Setup
20 minutes: Year 2 decision time (Year 4 for class period 2)
10 minutes: Reflection time
5 minutes: Cleanup

Each year you must make the following decisions and record them:
1. How much to save. Savings earn a low rate of interest, at 2% per year, but can
be withdrawn at any point in time.
2. You have the option to buy, sell or hold shares from 5 different publiclytraded companies. You will be provided with the stock profiles as well as
what analysts are saying about the companies each year.
3. You have the option to invest in a number of businesses based on the profiles
you will be provided with.

The results of your decisions from the previous year will be shared with you at
the start of the next year.

Simulation Rules
Each team must pay the banker 100,000 at the start of each year to mimic client
spending.

If a team requires funds, but has no cash on hand or in a savings account, the
team can borrow from the bank at a rate of 29% per year.

By the end of the 20-minute decision period, your group must have completed
both sets of records- one must be submitted to your teacher at the end of the 20
minutes and your group holds on to the other one.

Team portfolios, including ALL sheets distributed in this process, must be
returned at the end of each class period.

No speaking allowed during the reflection periods.
32
CLIENT PROFILES - Put Your Money Where Your Mind Is!
In this activity, your consulting group has been hired to spend, save and invest a specific
client’s money. Your client profile is described below. Please read it carefully as it will
help you in your financial decisions.
CLIENT:
Melinda Bates
ASSETS:
$500,000.00
INCOME PER YEAR:
$1,000,000.00
DESCRIPTION OF CLIENT:
Melinda Bates (age range: 40-50) is the wife of a wealthy technology giant. She is
a stay-at-home, independent woman with a good chunk of change of her own. She has
hired to your consulting group to help her increase her wealth.
She has come to you with $1.5million of capital (including assets and income) in
your first year as consultants. Every year after that, she adds an additional one million
dollars to her capital for you to spend, save or invest.
Melinda wants to make as much money as she can no matter what. Her goal is to
double her capital every single year – i.e. make $3million at the by the end of the first
year, $6million by the end of the second year, $12million by the end of the third year and
finish with $24million dollars by the end of your 4-year consulting contract.
There is one thing to note about Melinda. As much as she wants to make lots and
lots of money, she hates losing money. If you lose any of her money, be sure that she will
ask you to explain exactly why you lost her money. She expects to be convinced that you
had considered all possible options and that the one you chose was the best – even if it
caused her to lose money.
33
CLIENT PROFILES - Put Your Money Where Your Mind Is!
In this activity, your consulting group has been hired to spend, save and invest a specific
client’s money. Your client profile is described below. Please read it carefully as it will
help you in your financial decisions.
CLIENT:
Laurene Rowell
ASSETS:
$2,500,000.00
INCOME PER YEAR:
$500,000.00
DESCRIPTION OF CLIENT:
Laurene Rowell (age range: 35-55) is the wife of the famous Pear Computers. She
is a very busy business woman and doesn’t have time to speak to you about her finances.
She has hired your consulting group to help her manage and invest her money.
She has come to you with $3million of capital (including assets and income) in
your first year as consultants. Every year after that, she adds an additional five-hundredthousand dollars to her capital for you to spend, save or invest.
Laurene trusts your consulting group and wants you to make the best decisions
for her money. She hasn’t specified an end target goal for her money, but like anyone,
she hopes that it will go up. She wants to make more money than a general or high
interest savings account will give her.
There is one more thing about Laurene. She is a very busy woman and basically is
allowing you to play with her money. If you can make her a lot of money, she is likely to
re-hire you as her financial consulting team for a long, long time to come. If you lose her
money, she will make sure you never get hired again by anyone. So make her proud!
34
CLIENT PROFILES - Put Your Money Where Your Mind Is!
In this activity, your consulting group has been hired to spend, save and invest a specific
client’s money. Your client profile is described below. Please read it carefully as it will
help you in your financial decisions.
CLIENT:
James Palsillie
ASSETS:
$7,000,000.00
INCOME PER YEAR:
$0.00
DESCRIPTION OF CLIENT:
James Palsillie (age range: 35-45) is one of the co-founders of the infamous and
historic technology hoopla that is The BlueBerry. He is a very confident businessman
and although he is co-founder, he still manages to find time to spend and invest some of
his own money – like buying NHL hockey teams. James has hired your consulting group
to help him manage and invest some of his money.
He has come to you with $7million of capital (including assets and income) in
your first year as consultants. Here’s the catch! That is all you will have, James will not
be giving you any more money to invest. So as years go by, you will only have the capital
and interest earned from your decisions. He will NOT be giving you any additional
money.
James wants you to make the best decisions for his money. He doesn’t have a goal
that he is working towards as he is financially set for the rest of his life. James was told
that your consulting group is one of the best and so he decided to give you $7million to
show him how good your consulting group really is.
There is one more thing about James. James is allowing you to play with his
money and do whatever you want. You can choose to make him a lot of money or lose it
all. James is very particular about his finances and so no matter whether you make him
money or lose his money, you better keep detailed and meticulous notes about where
every penny went. He will ask you for it.
35
CLIENT PROFILES - Put Your Money Where Your Mind Is!
In this activity, your consulting group has been hired to spend, save and invest a specific
client’s money. Your client profile is described below. Please read it carefully as it will
help you in your financial decisions.
CLIENT:
Mr. Jash Woolaust
ASSETS:
$1,500,000.00
INCOME PER YEAR:
$52,140.00
DESCRIPTION OF CLIENT:
Jash (age range: 25-35) is a high school economics teacher and just won a small
part of the lottery. He and his colleagues buy a bunch of group tickets every month and
this was their lucky month. Jash’s share of the winnings is $1.5million. He is a really good
economics teacher and knows a lot about the markets but doesn’t have the power to
click buy or sell when it comes to personal investments. Therefore, he has hired your
consulting group.
He has come to you with just over $1.55million of capital (including assets and
income) in your first year as consultants. In every additional year, he will give you
another $52,140.00 to spend, save or invest – that is his annual income. He’s giving you
all his money to deal with so don’t let him go bankrupt.
Jash wants you to make the best decisions for his money. He wants to make his
money now grow as quickly as possible but needs to be certain that he will not lose his
money. As an economics teacher, he knows that the markets fluctuate and therefore will
be following all of your decisions.
There is one more thing about Jash. Jash is very particular about his money. This
is the first time he has seen this much money. All of his debts are paid off and now he’s a
millionaire. He wants to make sure that he stays that way and preferably his money
grows. He is very scared about losing money so make sure you document all your
choices and explain why so that he can understand all of your decisions. He asks you
don’t lose ANY of his money.
36
CLIENT PROFILES - Put Your Money Where Your Mind Is!
In this activity, your consulting group has been hired to spend, save and invest a specific
client’s money. Your client profile is described below. Please read it carefully as it will
help you in your financial decisions.
CLIENT:
Robert Mattinson
ASSETS:
$100,000.00
INCOME PER YEAR:
$440,000.00
DESCRIPTION OF CLIENT:
Robert Mattinson (age range: 15-25) is a rising star in Hollywood. He has had a
couple huge blockbuster hits and has spent most of his earning on his brand new
mansion in East Los Angeles. He is constant asked for autographs and is given new
movie scripts all the time. Unfortunately, you never get to meet him but you’ve met with
his accountant. His accountant has hired you to spend, save and invest Robert’s money.
He has come to you with five-hundred and forty-thousand dollars of capital
(including assets and income) for you to work with in your first year as consultants.
Each year after that, he will give you another $440,000.00 to add to the capital and
interest from the previous year – and you will spend, save and invest it again.
Robert doesn’t really understand how financial markets work and only cares
about making money. His accountant wants you to make the best decisions for his
money. He has a very simple goal. He wants to be able to buy a couple new cars (a
Porche GT Turbo that costs over $500,000 and the new McLaren that costs over
$600,000) as well as a summer home in the South of France (as you can imagine this
costs a lot of money).
There is one more thing about Robert. Since Robert is a celebrity, if you lose his
money, it’ll be all over the tabloids. At the same time, if you make him a lot of money,
he’ll refer you to his celebrity friends and your consulting group will be in business for
years to come.
37
CLIENT PROFILES - Put Your Money Where Your Mind Is!
In this activity, your consulting group has been hired to spend, save and invest a specific
client’s money. Your client profile is described below. Please read it carefully as it will
help you in your financial decisions.
CLIENT:
Gordie Whye
ASSETS:
$4,500,000.00
INCOME PER YEAR:
$75,000.00
DESCRIPTION OF CLIENT:
Gordie Whye (age range: 60-70) is a retired hockey player who, over his years of
playing, has created a name for himself. Even after retiring, he still makes about seventyfive thousand dollars in commercials and endorsements. He is a household name in
Canada’s Hockey history.
He has come to you with over $4.57million of capital (including assets and
income) in your first year as consultants. He has promised that he will give you an
additional $75,000.00 every year after that for you to invest as well. As a retiree, he
doesn’t have much income and wants to be assured that you will not lose any of his
money.
Gordie wants you to spend, save and invest his money by making the best
decisions possible. He is not too concerned about making tens of millions of dollars but
rather he is more concerned about losing his money. Since he is getting older, he wants
to make sure that he always has enough money on hand to pay for medical bills and
luxuries whenever he wants.
There is one more thing about Gordie. Gordie took all of his risks when he was
younger and on the ice. He doesn’t want to hear any surprising news from your
consulting group about unexpectedness in the markets. He wants you to be on the top of
your game and be able to look out for what will happen in the future. Basically he wants
you to make the best possible decision at all times when it comes to his money.
38
CLIENT PROFILES - Put Your Money Where Your Mind Is!
In this activity, your consulting group has been hired to spend, save and invest a specific
client’s money. Your client profile is described below. Please read it carefully as it will
help you in your financial decisions.
CLIENT:
Bobyn Rihanna Fenty
ASSETS:
$2,800,000.00
INCOME PER YEAR:
$1,200,000.00
DESCRIPTION OF CLIENT:
Bobyn Fenty, a.k.a. Rihanna (age range: 20-30) is a well known recording artist.
She has made it big after signing a recording contract with one of the largest record
labels in New York City, Mockafella Records. She is a huge artist and is known amongst
all age groups but is particularly well known to adolescents and young adults.
She has come to you with $4million of capital (including assets and income) in
your first year as consultants. She will give you an additional $1.2million every year
after that for you to spend, save or invest as well. As an artist, she likes her money, her
dough, her cheddar, her green and doesn’t like losing any of it.
Rihanna wants you to make the best decisions for her money. She is looking to
buy one of the most expensive properties in New York City. Since New York City is really
expensive, she is going to need at least $20million to buy the dream property that she
has been looking at. Just remember, Rihanna loves to shop and always needs to have
spending money to buy luxuries whenever she wants.
There is one more thing about Rihanna. Rihanna is a very generous woman and
likes to give back to her community and to those who need it. Therefore, she asks that
you donate at least 10% of her capital to charity every year. She also likes to change her
charity every year so that she can help as many people as possible. Make sure you keep
record of these donations because she’ll need to know about it when the media
interviews her.
39
Reflection Template
1. Describe the decisions you made as a group this year.
2. Describe the thought process behind each of your decisions.
3. Is there any decision that you disagreed with? Why?
Reflect on your decisions and the results from the previous year.
4. Describe the positive outcomes of your decisions.
5. What are the causes of these outcomes?
40
6. Describe the negative outcomes from your decisions.
7. What are the causes of these outcomes?
8. Given the chance to go back, how would you change your decisions? Why?
41
CLIENT: ________________________________
GROUP: ____________________________________
On this sheet, record the consultant’s agreed upon decision to spend, save or invest. Be as detailed as possible.
You will use this same sheet to record all of your decisions over the 4 year period that you have been hired for by
your clients.
Unless otherwise instructed, the last column will be filled out by the teacher.
Investment Description
Spent, Saved
or Invested
Capital
($ Amount)
Example: CIBC Savings Account
Saved
$50,000.00
Example: Google Stock (Low Risk Stock)
Invested
$10,000.00
RANDOM SCENARIO LOSSES OR EARNINGS
TOTAL
42
Total Earned/Lost
(Capital + Interest - Losses)
Company List
Yahoo! Inc. (YHOO)
Garmin Ltd. (GRMN)
Sirius Satellite Radio, Inc. (SIRI)
HJ Heinz Co. (HNZ)
Heartland Inc. (HTLJD.OB)
Lockheed Martin Corporation (LMT)
Dr Pepper Snapple Group, Inc. (DPS)
Sara Creek Gold Corp (SCGC.OB)
Pepsico, Inc. (PEP)
World Wrestling Ent (WWE)
Boston Scientific Cp (BSX)
Domino's Pizza, Inc. (DPZ)
Royal Bank of Canada (RY.TO)
Bank of Montreal (BMO)
Starbucks Corp. (SBUX)
Apple Inc. (AAPL)
GameStop Corp. (GME)
Synovus Financial Corp. (SNV)
Adventrx Pharmaceuticals, Inc. (ANX)
Microsoft Corporation (MSFT)
USA Video Interactive (US.V)
Fortuna Silver Mines Inc (FVI.TO)
Randgold Resources Limited (GOLD)
SPDR Gold Shares (GLD)
Diamond International Exp (DIX.V)
Nike Inc. (NKE)
General Dynamics Corp. (GD)
Research in Motion LTD (RIM.TO)
43
Nike
(NKE)
John’s Advice
Lisa’s Advice
YEAR 1
Current Price: 62.50
Nike is releasing their new sweat absorbing shorts.
BUY
Nike is a fast and growing company. BUY
Gamestop
Corp.
(GME)
Current Price:
John’s Advice
Lisa’s Advice
I love videogames! BUY
Videogame piracy is lowering videogame sales.
SELL
USA VIDEO
INTERACTIVE
CRP
(US.V)
20.25
Current Price:
0.04
John’s Advice
Lisa’s Advice
You always want to be on top of new technologies. BUY
Software is constantly changing. Too risky. SELL
SPDR Gold
Shares
Current Price:
John’s Advice
American dollar is unstable.
BUY
Gold is rising. BUY
Lisa’s Advice
DR Pepper Snapple
Group, Inc.
(DPS)
John’s Advice
Lisa’s Advice
104.09
Current Price:
27.33
New line of healthy drinks should increase profits.
BUY
It’s all about the H20. SELL
44
Nike
(NKE)
John’s Advice
Lisa’s Advice
YEAR 2
Current Price: 67.57 Year 1 Price: 62.50
New CEO, restructuring basketball division. HOLD
New CEO means new endeavours, risky but exciting.
BUY
Gamestop
Corp.
(GME)
Current Price:
John’s Advice
New videogame systems should increase profits.
BUY
Won’t be able to restock products fast enough! BUY
Lisa’s Advice
USA VIDEO
INTERACTIVE
CRP
(US.V)
John’s Advice
Lisa’s Advice
18.10
Current Price:
0.05
Year 1 Price:
20.25
Year 1 Price:
0.04
Deal with Microsoft can make technology mainstream.
BUY
Deal with Microsoft can mean BIG profits. BUY
SPDR Gold
Shares
Current Price:
John’s Advice
Lisa’s Advice
It seems like gold is going to rise forever. BUY
Gold is rising. BUY
DR Pepper
Snapple Group,
Inc.
(DPS)
John’s Advice
Lisa’s Advice
115.09
Current Price:
30.02
Year 1 Price:
104.09
Year 1 Price:
27.33
Nothing new or exciting happening. HOLD
Sales are good and steady. HOLD
45
Nike
(NKE)
John’s Advice
Lisa’s Advice
YEAR 3
Current Price: 65.33 Year 2 Price:
67.57
Competition from Reebok can lower profits.
SELL
Rumours have Nike purchasing Reebok. BUY
Gamestop
Corp.
(GME)
Current Price:
John’s Advice
Lisa’s Advice
I like to play outside. SELL
Videogames sales continue to soar. BUY
USA VIDEO
INTERACTIVE
CRP
(US.V)
John’s Advice
Lisa’s Advice
24.24
Current Price:
0.37
Year 2 Price:
18.10
Year 2 Price:
Deal with Microsoft can make technology mainstream.
HOLD
Deal with Microsoft can mean BIG profits. HOLD
SPDR Gold
Shares
Current Price:
John’s Advice
Lisa’s Advice
Gold prices are due for a rise. BUY
Gold continues to plummet. SELL
DR Pepper
Snapple Group,
Inc.
(DPS)
John’s Advice
Lisa’s Advice
0.05
89.89
Current Price:
32.37
Year 2 Price:
115.09
Year 2 Price:
30.02
New eco friendly bottles are expensive to produce.
SELL
New sustainable manufacturing with eco bottles.
BUY
46
Nike
(NKE)
John’s Advice
Lisa’s Advice
YEAR 4
Current Price: 60.08 Year 3 Price: 65.33
Sweatshop controversies are hurting their image.
SELL
Will get past sweatshop controversies. HOLD
Gamestop
Corp.
(GME)
Current Price:
John’s Advice
Lisa’s Advice
Videogame sales have calmed. HOLD
I beat Mario Bros last week! BUY
USA VIDEO
INTERACTIVE
CRP
(US.V)
John’s Advice
Lisa’s Advice
23.04
Current Price:
Current Price:
John’s Advice
Lisa’s Advice
I have no idea. ?
Too risky. SELL
John’s Advice
Lisa’s Advice
24.24
Year 3 Price:
0.37
Failed Microsoft deal kills company. HOLD
No Microsoft = no money. HOLD
SPDR Gold
Shares
DR Pepper
Snapple Group,
Inc.
(DPS)
0.01
Year 3 Price:
93.13
Current Price:
42.60
Year 3 Price:
89.89
Year 3 Price:
32.37
New eco friendly bottles have many supporters.
BUY
Eco bottles have increased sales on all products.
BUY
47
Business Opportunities and Outcomes:
Opportunity Examples
1. PROVIDE A LOAN: Lily, the daughter of a neighbor wants to start up a lawn
care business. The bank plans to charge her 8% on a $10,000 loan so she can
buy a truck and some equipment. She approaches you to see if she can
borrow $2,500 for one year at a rate of 4% so that she can save a bit of
money and you can make a few percentage points higher than the current
rate on a savings account.
2. INVEST IN A START-UP: A family friend who worked for GE for 20 years and
has a history of developing successful products for the company. He recently
left the company to pursue an idea for a new technology that has a potential
market of all electric utilities in North America, and estimates the company
could reach sales of $200 million within 10 years. He offers you a 10% stake
in the company for $50,000. Once you invest this money, you cannot take it
out for at least five years.
3. BECOME A PARTNER: An associate asks your client to be one of three
partners in a local high-end restaurant they are starting. S/he is recruited
because of her ability to scout talent. The risk and benefits will be shared
three ways. Initial investment from each partner is $100,000.
Outcome Examples
1. Lily pays off the loan three months late, but you don’t charge interest on the
delayed payment so in the end you only earn, $X, or x%.
2. By the end of year 2 the company had demonstrated its technology and it
made its first sale in the middle of year 3. It now has 2 major US utilities as
clients. At the end of year 4 the company plans to go public and your stake in
the company (shares) is worth an estimated $200,000.
3. YEAR 1: The business starts off busy because of the attraction of the popular
chef that your client helped to attract. However, sales are not high enough to
produce profits yet (still paying off up front capital costs)
YEAR 2: restaurant maintains its popularity; however books are still just
“breaking even” with revenues equaling costs.
YEAR 3: A combination of unfortunate events, including a rat sighting and
departure of the popular chef, result in the restaurants closing by year’s end.
All money originally invested is lost.
48
Random Scenario Examples:
1. An ice storm hits the region and extensive damage to client’s home
results. Client was uninsured for this type of event, which costs
them $15,000 in renovations.
2. Your client plays a monthly lotto with colleagues for entertainment
and camaraderie. They chose winning numbers in December and
each person takes home $20,000, after taxes.
3. Your client’s decides their daughter needs a Bentley Azure for
university. The car costs $335,000 and your client withdraws this
from their investments.
4. Your client’s basement is flooded. It costs them $2,000 to repair the
damages and re-carpet.
5. Your client gets hit with a football while walking through a park and
loose two teeth. Dental surgeries cost them $3,000.
6. Your client decides to withdraw $40,000 in order to donate to a
charity “Dogs for all”. The charity has a mission to provide one
Chihuahua to every home in a remote part of Malaysia.
7. Your client’s great-aunt dies and client receives a windfall
inheritance of $35,000 which is added to the investment portfolio.
8. Your client’s parents pass away in a tragic plane accident. The
funeral costs and lawyer fees cost your client $15,000.
9. Your client is sued for libel (“talking smack” that threatens another
person’s reputation). Fortunately they are exonerated, but lawyer
fees force your client to withdraw $50,000 from their investments to
cover the costs.
49
NAME and TITLE: __________________________________________
YEAR: 1
2
3
4
CLIENT: _____________ _________________________ GROUP: _____________________________________
CHECKBRICK – Put Your Money Where Your Mind Is!
Complete this form individually after your group has finished making decisions for
all four years of the activity – i.e. you will hand in 4 of these in total. This form must
be submitted at the end of every decision making time, before you write in your
reflection journals.
1. Evidence of Portfolio Management Planning:
Without Fail
Almost Always
Sometimes
Rarely
4
3.5
3
2.5
2
1.5
1
4
3.5
3
2.5
2
1.5
1
4
3.5
3
2.5
2
1.5
1
I took on my management role and did not
interfere in other roles.
My group had filled in our group name, client name
and starting capital on the record keeping sheet at
the beginning of the decision making cycle.
I asked my group and teacher (if needed) for
clarification on matters that I did not understand.
2. Evidence of Portfolio Management Development:
Without Fail
Almost Always
Sometimes
4
3.5
3
2.5
2
1.5
4
3.5
3
2.5
2
1.5
4
3.5
3
2.5
2
1.5
Rarely
1 Our group discussed all decisions as a team before
finalizing our decisions.
1 Conflicts were dealt with peacefully and in a
mature manner.
1 All final decisions were recorded correctly on the
record keeping sheet.
3. Evidence of Teamwork and Active Participation:
Without Fail
Almost Always
Sometimes
4
3.5
3
2.5
2
1.5
4
3.5
3
2.5
2
1.5
Rarely
1 Our team was on task and used our decision
making time wisely.
1 All team members (including myself) participated
in all decisions made.
4. Things I will work on during the next round:
_________________________________________________________________________________________________
_________________________________________________________________________________________________
_________________________________________________________________________________________________
_________________________________________________________________________________________________
50
Group Checklist for Simulation
Your group will be evaluated on the following criteria at the end of the simulation.
Use this checklist daily as a way to make sure your team is on track in order to get
perfect on this component of the activity.
 Each member arrived on time and ready to work every period.
 Decisions were made and recorded within the allotted time (20 minutes).
 Two sets of records were kept.
 The team portfolio was kept in order and handed in at the end of each period.
 Team members encouraged one another and listened to each other’s ideas.
 Respect agreements were maintained.
 All members contributed equally to the decision making process.
 Each team member performed his/her respective manager role.
 Reflection time was used effectively and no talking occurred during this time.
 Each member assisted in the cleanup process and the area was left spotless.
51
Checkbric for Simulation
The following checkbric will be used to evaluate your group based on the simulation
task. The evaluation for criteria 5 through 8 will be based on teacher observations
from simulation periods and self-assessments on group participation.
Criteria
Level (1, 2, 3 or 4)
1. Each member arrived on time and ready to work.
2. Decisions were made and recorded within the allotted time
(20 minutes).
3. Two sets of records were kept.
4. The team portfolio was kept in order and handed in at the
end of each period.
5. Team members encouraged one another and listened to
each other’s ideas.
6. Respect agreements were maintained.
7. All members contributed equally to the decision making
process.
8. Each team member performed his/her respective manager
role.
9. Reflection time was used effectively and no talking occurred
during this time.
10. Each member assisted in the cleanup process and the area
was left spotless.
Total (Application)
/40
Level 1=Rarely; Level 2=Occasionally; Level 3=Most of the time; Level 4=Always
A mark will also be assigned based on the percentage increase in the value of your
client’s assets between the start and the end of the simulation. The team that
finishes first (has the highest percentage increase) will receive 10/10. The team that
finishes second will receive 9/10. The team that finishes third will receive 8/10.
This will continue until the seventh team receives 4/10. This is grade falls under the
Thinking/Inquiry category as it is a measure of the success of your decision-making.
This is a small percentage of your overall grade, as your score out of 40 from the
checkbric above will be added to your finishing place score out of 10. This will then
be converted into a mark out of 5 as it represents 5% of your CA grade.
Checkbric Score
(Application)
Finishing Place Score
(Thinking/Inquiry)
Total
/40
/10
/50
/5
52
Reflection Rubric
Category
Knowledge of
Financial
Management
and Business
Organization
(Knowledge)
Grade
Decision
Making and
Reasoning
Ability
(Thinking/
Inquiry)
Grade
Understanding
of Causes of
Outcomes
(Thinking/
Inquiry)
Level 4
Level 3
Level 2
Level 1
 Impeccable and
consistent use of
terminology related to
the unit
 Demonstrates high
level of understanding
of profitability relating
to business investment
 Sound investment
strategies and
financial planning
principles consistently
employed
 Several effective uses
of new terminology
from this unit
 Consideration of
profitability in
business investment
decision making
 Knowledge of financial
planning principles
evident in description
of decisions
 Unit terminology used
incorrectly
 Business investment
decision described
without any
consideration of
profitability
 Financial planning
principles employed
erroneously
 No economic
terminology used
 No explanation of how
business investment
decisions were made
 No explanation of how
decisions were made
10
9.5
9
8.5
8
 Cost/benefit analysis
used and explained in
decision making
process
 Continuously
considering multiple
periods when financial
planning
 Effective evaluation of
sources of information
used for investment
decisions
10
9.5
9
8.5
8
 Several reasonable
causes are
hypothesized
 Deep understanding of
economic theory is
evident in reflection
7.5
7
6.5
6
5.5
5
 Explanation of risks
 Only risks or rewards
 No consideration of
and rewards of
considered; no analysis
risks and rewards of
investment
of their interaction
possible decisions
opportunities
 Mentions plans for
 No mention of the
 Some evidence of
future but plans not
future or plans for
multi-period financial
executed when
anything other than
planning
decisions are made
current period
 Uses analyst advice in
 Blindly follows analyst  No mention of analyst
decision but this is not
advice without
information in
the sole deciding factor
considering reliability
reflection
7.5
7
 One plausible cause is
suggested for each
outcome described
 Understanding of unit
concepts is evident in
reflection
53
6.5
6
 Unreasonable causes
are listed for the
outcomes
 Reflection shows
evidence of confusion
over some topics
5.5
5
 Causes listed would
not lead to the
outcomes described
 Reflection shows
evidence of confusion
over all topics in unit
 Highly capable of reevaluating decisions
and suggesting
alternatives with
supportive reasoning
10 9.5
9
8.5
8
Grade
 Thoughts are well
Articulation of
organized; it is an
Ideas
engaging and
(Communication)
interesting read
 Templates are
completed in role as a
consultant
 No surface errors
Grade
Connection of
Simulation to
Life
(Application)
Grade
TOTAL
10
9.5
9
8.5
8
 Several logical
connections made to
everyday life
 Able to extrapolate;
shows understanding
of greater complexity
in life
 Highly capable of
relating principles
learned to personal
financial planning
10
9.5
9
8.5
8
 Suggests a suitable
alternative when
negative outcomes
occur
7.5
7
 Thoughts are
organized in a logical
way and reading is
straightforward
 Templates are
completed from the
student perspective
 Few surface errors
which do not impact
understanding
7.5
7
 Suggested alternatives
would not help with
negative outcomes
6.5
6
 Thoughts are
organized illogically
 Template writer
switches between
student and consultant
 Many surface errors
but they do not
interfere with
comprehension
6.5
6
 One reasonable
 Connection made to
connection made to
life is not a result of
everyday life
learning from
 Mentions how and why
simulation
the real world is more  Connection does not
complex than the
show ability to see
simulation
differences between
 Demonstrates
life and simulation
understanding that
 Difficulty relating
principles of financial
client decisions to
planning hold in
personal financial
varying contexts
planning
7.5
7
6.5
6
 Unable to determine
alternative options in
the face of negative
outcomes
5.5
 Very difficult to follow
thoughts
 The writer’s
perspective is unclear,
i.e. student or
consultant
 Comprehension
difficult due to large
number of surface
errors
5.5
5
 Unable to connect
learning to everyday
life
 Unable to see how
general principles of
financial planning hold
in varying contexts
5.5
The grade will then be converted to a mark out of 40 as this component is worth 40% of the CA grade.
54
5
5
/50
/40
Group Name:_____________________________
_____ / 25
Presentation Rubric: Content & Timing
(Group portion)
 The presentation organized logically with outline slide and ideas
presented sequentially and finishes on time without prompting
 Slides and images are creative and relevant to information being
presented with no spelling errors or formatting mistakes
Level
 Several explanations are given to justify investment decisions
4
which are based in sound economic reasoning
 Reflection includes at least one thing that the firm did well and at
least one thing that could have been done differently and why
 Economic language is used appropriately and often
 Clear and thorough understanding of unit concepts demonstrated

Level
3




Level
2




Level
1




The presentation is ordered in a logical sequence and may have
an outline. Finishes on time but may require slight prompt.
Slides deck is organized and relate to topics being discussed
With minor exceptions, explanations for justifying investment
decisions are based in sound economic reasoning
Reflection only includes one issue but includes a reasonable
explanation
Presentation seems organized, but ideas are presented
inconsistently. Presentation may require time warning and may
not cover all material because of poor timing.
Slide deck has spelling errors and may be difficult to link with the
idea being presented
Investment decisions are reported with little to no explanation of
motivations
Reflection mentions either what would do differently or what was
done well but may not include justification
It is unclear how the presentation is structured and thoughts may
not always follow logically. Presentation does not cover all
material because of lack of time management and focus.
Presentation lacks evidence of understanding of unit concepts
Slides and images exist but are not clearly linked to what is being
presented
Some explanation justifying investment decisions is mentioned
but not elaborated upon
A reflection may not be included and does not include
Notes:
55
4+
95
4
90
4-
85
3+
77
3
75
3-
72
2+
67
2
65
2-
62
1+
57
1
55
1
52
Name:_____________________________
Presentation Rubric: Delivery
_____ / 15
(Individual portion)
 Presenter engages entire audience with eye contact, minimal
reference to notes and does not read anything directly from slides
 Voice is projected so that everyone can hear the presentation.
4+
Speech is well paced with little to no hesitation or filler words (such
as “um”). Body language is confident (standing tall, not crossing
Level
arms)
4
 Student has a reasonable speaking role in the presentation. They
are punctual, prepared and are supportive of other team members
4
(helping with slides etc.) and appear engaged when team members
are presenting as well, adding omitted information where necessary
and helping to answer questions during the Q&A session.

Level
3




Level
2


Level
1


Presenter periodically looks at notes or reads slides but without
seeming unconfident, may only engage part of the classroom with
eye contact
Voice is projected with a few moments of hesitation or a few filler
words but is easy to hear and understand.
Student presents a reasonable share of the presentation and
appears engaged when not speaking and helps answer questions.
Presenter reads slides and/or notes for much of the presentation
and seems nervous or unprepared but tries to make some eye
contact
Voice is difficult to hear at times and may use filler words
frequently. Body language may appear unconfident (arms crossed,
fidgeting with papers etc.)
Student seems distracted during presentation and may have a
disproportionately small speaking role. They make little effort to
answer questions, letting their teammates respond
Presenter looks at notes or slides throughout most of the
presentation and does not engage audience with eye contact
Presenter may loose track of thought during presentation and tends
to speak softly or away from the audience making it difficult for
them to hear
Student is absent or tardy on day of presentation and/or has no
speaking role in the presentation.
Notes:
56
95
90
4-
85
3+
77
3
75
3-
72
2+
67
2
65
2-
62
1+
57
1
55
1-
52
Peer Assessment: Presentation Checklist
Delivery
4 3 2 1
4= Excellent
3= Good
2= Fair
1= Needs Work
   
Presentation followed logical sequence including introduction, body,
and conclusion.
   
Slides were organized and images related to the topic being
presented.
   
Team members appeared prepared and understood individual
presentation roles.
   
Each member appeared to contribute to the presentation.
   
Presenters projected their voice so the back of the class could hear
them.
   
Presenters did not read directly from notes and looked at the
audience when speaking.
Content
4 3 2 1
4= Excellent
   
The team explained why they made the choices they made.
   
The team reported what happened to the value of the portfolio over
time.
   
The team identified one thing they would have done differently/did
really well.
   
If I was a client, I would want to hire this team to manage my money.
3= Good
2= Fair
1= Needs Work
Feedback:
Please give specific feedback on this presentation. Include clear
examples of what they did well as well as something(s) you might improve next time.
_________________________________________________________________________________________________
_________________________________________________________________________________________________
_________________________________________________________________________________________________
_________________________________________________________________________________________________
_________________________________________________________________________________________________
_________________________________________________________________________________________________
57
Financial Management
and
Business Organizations
LESSON PLANS
58
Date:
February 23,
2010
Course:
Unit:
Lesson #/ Time:
CIE3M- The Individual and Financial Management
Lesson #1 (Day 1 of
the Economy, Grade 11,
and Business
16): 225 minutes
U/C Preparation
Organization
Topic/Lesson Title: To Spend or Save? That is the Question
Description:
The purpose of this lesson is for students to gain an understanding of the importance of
research when making stock market decisions.
STRANDS:
1. Economic Stakeholders (ES)
2. Economic Institutions (EI)
3. Methods of Economic Inquiry and
Communication (ME)
Overall Expectations:
EMV.02 - explain the principles of sound
personal financial planning
ESV.01- analyse the factors that influence
consumer demand and satisfaction in the
marketplace
SIV.01 - explain how self-interest in a
market makes consumers and producers
interdependent
MEV.01 - use methods of economic inquiry
to locate, gather, evaluate, and organize
information from a variety of sources
MEV.02 - analyse specific economic
situations, using appropriate economic
concepts, models, and methods of
economic inquiry
Specific Expectations:
EM2.04 - describe how saving benefits the
individual and the economy
EM2.05 - describe different forms of savings
income (e.g., interest, dividends, capital gains,
rent) and how they benefit the individual and
the economy
ES1.04 - analyse choices and determine the best
method of payment (e.g., cash, credit, loan,
rent, lease) for major consumer purchases (e.g.,
cars, accommodation)
SI1.02 - describe the criteria that consumers
and producers each use to determine which
of several choices is in their own best interest
ME1.02 - evaluate the usefulness of economic
information by considering the reliability of
its source (e.g., authority, expertise,
impartiality) and the quality of its content
(e.g., use of logical arguments supported by
evidence, absence of bias, avoidance of
unsubstantiated assumptions)
ME2.01 - interpret current financial
information from various sources (e.g.,
information from banks or stock markets that
incorporates statistics and forecasts)
Prior Knowledge Required:
 Cooperative learning experience and knowledge of TPS Kagan structure in particular;
respect agreements in place
 Experience with economic decision-making (Unit 1)
 General understanding of supply and demand (Unit 2)
59
Accommodations / Special Needs:
 Students may have trouble using a computer. Students may be paired up with another
student if he or she has trouble using a computer.
Teacher Resources:
Agenda:
Print:
Day 1
- The Power of Research Handouts
1. Buy Athlete
- Company List Handout
2. Research…Research
Student Resources:
3. Stock Profile
Print:
4. Homework
- The Power of Research Handouts
- Company List Handout
Planning Notes:
 Computer lab must be booked
 Make sure all appropriate handouts are printed and photocopied
Appendices:
1. Handout: Company List
2. Handouts: The Power of Research
Teaching-Learning Strategies:
 Cooperative Learning Strategies – TPS
(K/U, T/I, A)
 Direct Instruction (K/U)
 Note-Taking from Internet and other
forms of research (K/U, T/I)
Assessment Chart:
Task
Athlete Purchase
Reasoning
Practice Research
Company Profile
Tool
Achievement
Chart
Category
Assessor
Value
Observation
K/U
Teacher
Diagnostic
Observation
Homework
Ceck
K/U, A
Teacher
Formative
K/U, A, T/I
Teacher
Formative
60
Lesson Plan
Mental Set/Sharing Expectations
The class will see 10 athlete names on the board with prices beside them. The teacher
will then ask the class how they would decide who they would purchase. (Players should
be current to keep the student interested)
Input/Modeling/Practice/Check for Understanding/CA Input
Students will then take time to search on the computer to give reasons why they would
purchase stock in those players. The class members will share their answers with a
partner and then with the class.
Students will be given handouts on how to document research (Appendix 1). The
teacher will then go over the sheet with the class
Students will then browse the internet and collect information on their sheets regarding
where they can find information in regards to stocks. Students will then pair up with a
partner and will discuss their findings. Students will then share their information with
the class
The teacher will then show an example of a “stock profile”. A stock profile will include
relevant information that can help students understand what information they will need
to collect to make stock market decisions. Students will be given a list of 28 businesses
to choose from (Appendix 2).
Homework
Students will come prepared with an idea of which company they would like to create
the profile for. Students will be informed that students will be chosen at random to
select their company to create the profile for.
61
Appendix 1-1
Company List
Yahoo! Inc. (YHOO)
Garmin Ltd. (GRMN)
Sirius Satellite Radio, Inc. (SIRI)
HJ Heinz Co. (HNZ)
Heartland Inc. (HTLJD.OB)
Lockheed Martin Corporation (LMT)
Dr Pepper Snapple Group, Inc. (DPS)
Sara Creek Gold Corp (SCGC.OB)
Pepsico, Inc. (PEP)
World Wrestling Ent (WWE)
Boston Scientific Cp (BSX)
Domino's Pizza, Inc. (DPZ)
Royal Bank of Canada (RY.TO)
Bank of Montreal (BMO)
Starbucks Corp. (SBUX)
Apple Inc. (AAPL)
GameStop Corp. (GME)
Synovus Financial Corp. (SNV)
Adventrx Pharmaceuticals, Inc. (ANX)
Microsoft Corporation (MSFT)
USA Video Interactive (US.V)
Fortuna Silver Mines Inc (FVI.TO)
Randgold Resources Limited (GOLD)
SPDR Gold Shares (GLD)
Diamond International Exp (DIX.V)
Nike Inc. (NKE)
General Dynamics Corp. (GD)
Research in Motion LTD (RIM.TO)
62
Appendix 1-2
63
Appendix 1-2 cont
64
Date:
February
23, 2010
Course:
Unit:
Lesson #/ Time:
CIE3M – The Individual and
Financial Management Lesson #2 (Days 4
the Economy, Grade 11, U/C and Business
& 5 of 16): 150
(mixed) Preparation
Organization
minutes
Topic/Lesson Title: Personal Financial Planning/ Nothing is Ever Free
Description:
In this lesson, students will get a good idea of how much they spend on a daily, weekly,
and a monthly basis. We will have students compare months to show higher and lesser
spending habits and then predict costs of future endeavors. Students will plan how
much money they might need in the coming 5 years to pay for tuition (College or
University), to buy a car (used or new), buy new clothes, etc. Students will then draw
upon their knowledge of financial vehicles from previous lessons and apply it into a
personal financial action plan.
STRAND(s)
Specific Expectations(s):
 Economic Decision
 EM2.01 - identify the financial planning principles that
Making (DM)
people follow when they budget, invest, and save (e.g.,
start saving early, take advantage of compound interest,
 Personal Financial
recognize the value of diversification)
Planning (FP)
 EM2.03 - evaluate, using financial criteria (e.g., yield,
Overall Expectation(s)
rate of return, liquidity, risk), the appropriateness of
different types of financial assets at different stages of
 EMV.02 – Explain
life
the principles of
sound personal
 ME2.04 - use methods of economic inquiry (e.g., cost
financial planning
benefit analysis) to evaluate an economic choice from
the perspective of the affected stakeholders
Prior Knowledge Required:
Students must have a grasp of definitions such as spend, save, invest, and interest as
well as knowledge of financial institutions. Students must have the skills to collect
research, by means of interviewing, asking questions and asking for help, as well as
through guided internet information gathering.
Accommodations / Special Needs:
Students will be working individually and in partners to gain the most from the activities.
The teacher will be giving clear verbal and written instructions of all activities, and
teacher will guide students who are developing verbal or literacy skills. Students with
lack of finer motor skills will be given a laptop (only if/when necessary) to type ideas;
otherwise during partnered activities, the other partner will write decisions made on
behalf of both parties. If there are an uneven number of students (due to absences),
then there will be one group of 3 made as a modification to the assignment on Day 2.
Resources (Student/Teacher)
Agenda:
Materials Needed
Day 1
 Computer Lab Booked
1. Hook – How much do things
 Photocopies of activity sheets & exit cards
cost?
65
Teacher Resources
2. Activity 1 – How Expensive is
your day?
 Being up to date on current costs of day3. Activity 2 – Research –
to-day items as well as more complex
Computer Lab
items such as college or university tuition,
a new car, a vacation, etc. (approximates
Day 2
are fine – exact value is not necessary)
1. Hook – High or Low Interest
Student Resources
2. Research/Homework Check
 Activity 1 – Day 1 – Sheet
3. Activity 3 – How I can save up
 Activity 2 – Day 1 – Sheet
for…
 Activity 3 – Day 2 – Sheet
4. Exit Card
 Exit Card – Day 2
Planning Notes:
Make sure the computer lab or library is booked for Day 1 of the lesson (day two is
optional and not necessary). Have students find a partner, rather assign heterogeneous
pairings. This lesson follows lesson 1, students must understand the definitions and
correct economic language that is introduced during lesson #1 in order to successfully
complete this lesson. Students must understand how relevant this lesson is to them
specifically but also how this decision making will help them in the CA.
Appendices:
Teaching-Learning Strategies
 Activity Sheet 1 – Day 1
 Cooperative Learning Strategies – TPS (K/U,
T/I, A)
 Activity Sheet 2 – Day 1
 Direct Instruction (K/U)
 Activity Sheet 3 – Day 3
 Note-Taking from Internet and other forms
 Exit Card
of research (K/U, T/I)
 Partnered-work – team work skills (T/I)
 Exit Cards (C)
Assessment & Evaluation
Task
Activity 2
Exit Card
Tool
Taking up
Homework
Exit Card
Achievement
Chart
Category
Assessor
Value
K/U
Self/Peer
Formative
K/U
Teacher
Formative
Mental Set / Sharing Expectations:
Asking students how much things cost (Day 1) is a great way to have students
understand the relevance of Personal Finance to themselves as students. Students are
able to choose what items are most important to them. Also, on Day 2, by having them
understand or describe their knowledge on interest rates (based on their own research
and prior knowledge) is a great formative evaluation for the teacher.
Sharing Expectations can be done prior to the hook. Students can be told that personal
finance is something that will help them from today until the rest of their lives. Also,
66
outline how the decision making skills in this lesson will be essential to the decision
making process used during the CA.
Expectations:
During this two day lesson, students will gain a new perspective of how
expensive things are, and how much money is necessary to purchase it. As well,
students will learn how long it takes to save using easily accessible investment vehicles
(saving, chequing, Government bonds, GIC’s, etc). Students gain understanding for longterm planning and gain decision-making skills necessary for success in CA.
Input / Modelling / Check For Understanding / Practice:
Day 1
The time spent on the hook is a good way for students to understand how
relevant the material is to them. Make sure that the students are in the computer lab
but not at/on the computers. Ask students how much do things cost and have students
answer. If students are not responsive, ask students specific questions such as how
much does a sweatshirt, a pair of jeans, a new car, a vacation, etc. cost? Write the
answers on the board so that students can visually see the variations in prices.
Hand out Activity Sheet 1 – How Expensive is Your Day? (see appendix A1
below). Have students fill out the sheet to see how much they spend in a day. This can
be a short activity, but conduct it so that students can see how expensive life really is.
Hand out Activity Sheet 2 – Research (see appendix A2 below). Have students
find all of the information on the activity sheet. This will help them understand what
financial institutions are offering them right now. This is a very current and relevant
activity.
Assign the completion of this activity sheet #2 for homework as it will be
necessary for students to use the follow day in class.
Day 2
Have students pull out activity sheet #2 and get ready to get to work. Have
students pass their activity sheet to another student in their class. Have fun with the
dispersion of this homework check – e.g. 52 pick up: all students drop their sheets in the
middle of the room and then you ask them to pick up one at random and make sure
they don’t pick up their own; you can have students pass it back to the student behind
them in their row; have students to finding people with the same birth month and pass
worksheets amongst themselves; etc.
Take up the answers from Activity sheet #2. Taking up this activity sheet does
not have specific answers as they are constantly changing, but as the teacher, you are
required to know an approximate to all of the questions. As long as students have a
similar answer, they can get a check mark. If they are significantly off the mark, then
they get an “X” and the assessing student will write in the correct answer.
Have the students hand back their worksheet/activity #2 to the rightful owner
and get into pairs. Hand out Activity sheet #3 (see appendix A3 below) to every student.
67
Students will work in pairs but still fill out their own worksheet. Working in pairs will
help them gain teamwork skills for the CA as well as allow students to learn from their
peers and understand the material better.
Before completing the lesson, have students fill out the exit card (see appendix
A4 below). Make sure students have at least 15-20 minutes for this alone. Collect all exit
cards at the end of the lesson; this is a formative assessment and will help them get into
the habit of the CA journal coming up at the end of the unit.
Check For Understanding:
At the end of Day 1, students are required to have Activity sheet 2 completed
(work time is provided during class in the computer lab) and will use those results with a
partner to complete Activity sheet 3. Homework check will be completed on Day 2 and
students will complete an exit card to explain their thoughts as well as something new
they have learned.
Homework:


Completion of the research activity (Activity 2) must be done before Day 2’s class
begins. Homework will be taken up during the day 2 lesson.
No homework will be assigned for the Day 2 day lesson.
68
Appendix A1
Name: ________________________________
How Expensive is Your Day?
Choose any day of the week. Fill out the following sheet to find out how expensive your
day really is. You will be estimating the cost of many different items. If you are unsure of
the estimated cost of an item, ask your fellow classmates first, then the teacher.
Example:
Item
Breakfast
Chocolate milk from Timmies
Lunch – Local Restaurant - Subway
Hoodie – Lulu Lemon
Snack – New York Fries
Etc.
Estimated Cost of Item
$1.75
$1.50
$7.90
$82.50
$3.65
Etc.
Total Day Cost
(this is a running total)
$1.75
$3.25
$11.15
$93.65
$97.30
Etc
Day: ____________________________________
ESTIMATED COST OF
ITEM
ITEM
TOTAL DAY COST
(this is a running total)
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
69
Appendix A2
Name: ________________________________
“Interest”ing Research
Using the template below, fill out all of the information you can through online
searches. You are expected to navigate through the website of well known financial
institutions in order to find the answers.
You are expected to have this completed by the end of the day. Note that this is due at
the beginning of the next day/lesson because it will be assessed at that time.
For any of the questions that ask “Why?”, only a few words are required. Point form is
acceptable, and paragraphs are not a good use of your research time.
1. If I have $2500, what type of account should I put it in, chequing or savings? Why?
2. If I have $5000, doe the answer to question 1 change? Name the financial
institution you are researching/finding your answers from.
3. You have $10,000 and want to put it into a Canadian Savings Bond. What is the
current interest rate for this type of Bond? Are there any better investments that
you can find on the site for $10,000?
4. How many savings accounts (daily or day-to-day banking account) does the financial
institution you are researching offer? What are the interest rates for each? Is there
a service charge?
Account Name
Interest Rate
70
Service Charge
5. How many chequing accounts does the financial institution you are researching
offer? What are the interest rates for each? Is there a service charge?
Account Name
Interest Rate
Service Charge
6. How many high interest accounts does the financial institution you are researching
offer? What are the interest rates for each? Is there a service charge?
Account Name
Interest Rate
Service Charge
7. Using the financial institution that you are researching, are there any short-term
investments (e.g. GICs, Bonds, etc.) that you can invest in, what is the minimum
balance required in order to invest? What is the interest rate? How long is the
investment term (e.g. 30 days, 60 days, 90 days, 6months, 12 months, etc.)?
Investment Name
Interest Rate
71
Term
Appendix A3
Name: ________________________________
How Can I Save Up For…
Using the information you found from “Interest”ing Research, find out how long it
would take you to save up for something that you are interested in having. For example,
if you are looking forward for a sunny getaway vacation, it will cost you approximately
$1500.00 to pay for it. A used car could cost you anywhere between $2000.00 and
$10,000.00. A new car on the other hand would cost you at least $12,000.00 and would
go upwards from there. Or maybe you want something a little bit smaller like a new set
of golf clubs, or a new snowboard, skateboard, designer sun glasses, a designer
handbag, etc. These are all fine choices.
Whatever you choose, make sure you know the approximate price for it. You will be
working with partners, so feel free to have them help you along the way. Make sure you
help them too.
Example: I have an annual income of $1000.00. I am trying to save up for a new mountain bike
that costs $2400.00.
$1000.00 invested in a high interest savings account at 1.5% interest gives me $1015.00 at the
end of the year. If I invest in the same account again at the end of that year plus the additional
$1000.00 I got, then I would be investing a total of $2015.00 at the interest rate of 1.5%. This
would give me $2045.22 at the end of year two. My annual income gives me another $1000 in
year 3, but since I only need another $354.72 it would take me another 5 months (approx. – you
could say 6 months if you wanted to).
Therefore, it would take approximately 2 years5 months for me to afford the new mountain
bike.
Calculations:
(Annual income + additional income/savings/interest ) * interest rate = year total
Year 1: ($1000 + $0) * 1.5% = $1015
Year 2: ($1000 + $1015) * 1.15% = $2045.22
Year 3: Because I earn more in my annual income than I need to purchase my mountain bike, I
can take my annual income and calculate the number of months of income I need. $1000 /
12months = $83.33 per month. Therefore, $83.33 * 5 months = $416.67. ($83.33 * 4 months =
$333.33 which is not enough).
72
ITEM YOU WANT: ____________________________________
HOW MUCH DOES IT COST: ____________________________
Choose the one that applies to you and work from there:
I do NOT have a job but my parents give me money once in a while: $500 per year
I do have a job & my parents still give me a bit of money here and there: $1500 per year
I do have a job but my parents do not give me any money: $1000 per year
Using the annual income that applies to you, calculate how long it would take you to
save up for the item that you want using at least 3 different investment options (i.e. you
have to do the calculations 3 times using 3 different options; maybe a savings account, a
high interest savings account and a GIC). Use the account/investment interest
information you gathered yesterday to calculate.
73
Appendix A4
Name: ________________________________
Exit Card
When I was researching on the financial options available to me, I noticed/realized:
When I was calculating how long it would take me to buy the item I wanted, I realized:
The reason why I chose the 3 investment options to calculate with was because:
Write one thing that you liked, disliked and found interesting about the last two days
worth of activities.
Liked:
Disliked:
Interesting:
74
Date:
Course:
Unit:
Lesson/ Length:
February 23,
2010
CIE3M- The Individual
and the Economy, Grade
11, U/C Preparation
Financial Management Lesson #3 (Days 6, 7,
and Business
8 of 16): 225
Organization
minutes
Topic/Lesson Title: Getting Down to Business: Business Organization in Canada
Description:
This lesson aims for students to understand the different types of businesses in Canada’s
economy and how entrepreneurs decide what type of business organization is best for
their company. These concepts will be extended to consider how business organization is
structured in both perfect and imperfect markets as well as the representation, financially
and physically, of these different types of businesses within the Canadian economy. How
different types of businesses raise capital will also be investigated.
Students will identify the advantages and disadvantages of the different types of business
structures (sole proprietorship, partnership, corporation, cooperative, monopoly, and
oligopoly). They will then apply this knowledge while acting as consultants to several
entrepreneurs in the sweets industries, based on historical case studies. They can then
see if their “clients” agreed with their advice. This activity will provide students with
decision-making experience acting as consultants, a skill that is required in the
culminating activity.
During this three-day lesson, the students will research a locally operating company and
write a short summary of the company. Expanding on what they learn about the company
through research, they will consider why the company chose to structure itself as it did
and present their findings to the class. The short business profile they write will be used
in the culminating activities as potential business investment opportunities.
STRANDS:
Specific Expectations:
4. Economic Institutions (EI)
5. Methods of Economic Inquiry and
Communication (ME)
EI2.04 - compare the characteristics of the
different structures of business organizations
(i.e., sole proprietorship, partnership,
corporation, cooperative) (p. 33comprehension)
EI2.05 - compare the characteristics of firms and
of competition in perfectly and imperfectly
competitive markets (e.g., monopoly and
oligopoly) (p.33- comprehension)
ME2.04 - use methods of economic inquiry
(e.g., cost-benefit analysis) to evaluate an
economic choice from the perspective of the
affected stakeholders (p. 35- analysis)
Overall Expectations:
EIV.01 – identify the distinguishing
characteristics of Canada’s economic
system (p. 33 – comprehension)
MEV.02 – analyze specific economic
situations, using appropriate economic
concepts, models, and methods of
economic inquiry (p. 35 – analysis)
75
Prior Knowledge Required:



Cooperative learning experience and knowledge of TPS Kagan structure in
particular; respect agreements in place
Students must be able to perform basic web searches and be comfortable talking to
community members in order to research the history and structure of their
selected business
Experience with economic decision-making (Unit 1)
Accommodations / Special Needs:


Ensure that overheads are clear and font is large enough for all students
Groups should include students with a range of abilities and personalities,
facilitating collaboration and leading to greater student success
 Examples of businesses should be diverse so that all students recognize some of
the companies represented
 After-school computer access should be provided to any students who require it
 For the students learning English (ELLs): provide definition list prior to the lesson,
ensure access to dictionary, provide transcript for audio file and video clip, ensure
they are comfortable, through private discussions, prior to class presentations,
provide written instructions
 Enrichment: Students can explore how business organization in Canada compares
to other mixed economies, with resource location guidance from teacher.
Teacher Resources:
Agenda (see lesson notes below for detail):
Day 1
Audiovisual:
1. Minds On: What do Cover Girl Lipstick,
- Overhead projector/computer &
Charmin toilet paper, and Pringles
projector
have in common?
- Slides to cover relevant material (see
2.
Advantages/disadvantages of different
lesson notes below)
types of businesses organizations
Computer:
3.
“Sweet Opportunities”: Client Profiles
- Computer lab access (Day 2)
4. Advisory team brainstorm & decision
- Afterschool computer access for
5. Get going! Local business research
students
Day
2
Print/construct:
1. Warm-up: “Pin the Advantages”
- Match the pie charts and puzzle
2. Client profiles: what really happened
pieces for activity- one set per group
3. Market structures: Oligopolies and
- “Pin the advantages” board
Monopolies
4. Computer research time
Student Resources:
Day 3
1. Match the pie: Business type
Print:
representation in Canada
- Handouts (see lesson notes below)
2. Handout: Business organization & the
Canadian Economy
3. Mini-presentations/reports
4. Buffer time
76
Planning Notes:





Although there are examples of business investment opportunities in the
culminating activity, this unit was designed so that some or all of the businesses
profiled in this lesson would be adapted to the business investment opportunities
in the culminating activity. This will further link the classroom to the community
and provide legitimacy to the research students did since they see it again in the
unit’s final activity.
Have a list of local businesses ready, with contact phone numbers and addresses,
for students who may need support for this activity. The teacher should review
the etiquette of contacting a local manager to get information and talk about when
is a good time to try and reach them (for example, if it is a restaurant, don’t call
during the dinner rush)
A template for contacting the business should be provided so students understand
exactly what information they are looking for (type of ownership, financing
sources, brief history, independent or chain, etc.)
To reduce paper wastage- a class set of client profiles could be reused, or the final
story could be projected on the wall in lieu of a handout.
For the warm up (Cover Girl, Charmin, and Pringles) real props should be brought
in. Pringles could be awarded as a prize for anyone who gets the right answer.
Teaching-Learning Strategies:
Appendices:
3-1.
3-2.
3-3.
3-4.

Business Organization Resources
for Notes and Review
“Sweet Opportunities” Client
Profiles
Client Bios
Activities and Questions for Client
Pios





Cooperative Learning Strategies- TPS,
Match the pie chart, (K/U, T/I, A)
Direct Instruction (K/U)
Note-taking (K/U, C)
Role Play (Candy Clients) (T/I, A)
Research and business profile Creation
(T/I)
Mini-presentations (C)
Assessment Chart:
Task
“Pin the Advantages”
(Placemat
Adaptation)
Group Brainstorm on
“Sweet Opportunities”
“Match the Pie” group
discussion
Group minipresentations on
selected business &
written profiles
Tool
Achievement
Chart Category
Assessor
Value
Observation
K/U
Teacher
Formative
Observation
K/U
Teacher
Formative
Observation
T/I, A
Teacher
Formative
Checkbric
T/I, A
Peer/Teacher
77
Formative
Lesson Notes:
DAY 1
1. What do Cover Girl Lipstick, Charmin toilet paper, and Pringles have in
common? Answer: They are all owned by Proctor & Gamble, a huge
multinational corporation. This minds on activity can be used as a spring board
to define what a corporation is, and lead into the different types of business
ownership.
2. Advantages/disadvantages of different types of businesses organizations Definitions/notes are provided and reviewed (Appendix 3-1 provides some
resources for adaptation)
3. “Sweet Opportunities” Client Profiles (Appendix 3-2)- Students read the client
profiles and work as consultant teams to determine how to advise each
entrepreneur
4. Advisory team: group brainstorm and decision- Students reach their decision
and share recommendations with the class. Teacher should tally their advice
and compare it to what happened in reality, which will be revealed in Day 2
activities.
5. Get going! Local business research - Expectations for business profile are
shared and students encouraged to begin researching immediately.
DAY 2
6. Warm-up: “Pin the Advantages”- Students will be given different
advantages/disadvantages and work in pairs to match them with the type of
business organization they describe.
7. Client profiles: what really happened - Students are provided with client
profiles (Appendix 3-3) so they can discern how their recommendations
compared to reality
8. Market structures: Oligopolies and Monopolies- Students and teacher
investigate how business organization is affected by imperfect markets
9. Computer research time - Students provided with time to begin researching
their company’s website
DAY 3
10. Match the pie: Business type representation in Canada - Students will be
given pie charts divided into number of businesses in Canada (by type), revenue
generated by type of business, and percentage share of employees working in
each type of business
11. Notes on representation in economy by ownership
12. Mini-presentations: Student selected companies – students should have a
completed draft template of their business profile and share with the class,
according to a checbric of expectations, a summary of their company. This
activity will be followed up on in Lesson #4 as well as the culminating activity.
13. Buffer time (in case lessons 1 or 2 run longer than anticipated or require concept
reinforcement)
78
Appendix 3-1
Getting Down to Business:
Business Organizations
There are many different goods and services that a new business can offer, but there
are only a few ways to organize a business. The vast majority of businesses start out
as sole proprietorships or partnerships. A third option is to set up a corporation. In
the United States, about 70 percent of all businesses are sole proprietorships, 20
percent are corporations and the remaining 10 percent are partnerships. Each type
of business has distinctive characteristics.
A sole proprietorship a business that is owned and managed by one
individual who receives all the profits and bears all losses.
A partnership a business that is owned and managed by two or more
individuals who receive all profits and bear all losses.
A corporation is a business that is owned by stockholders and that
has legal rights and responsibilities as if it were a person.
An entrepreneur is a person who starts up a new business, taking on risk and
hoping to make a profit.
Source:
http://www.econedlink.org/lessons/index.php?lesson=533&page=student
(with modifications)
79
Business Organization:
What Type is Best for You?
Whether you are going it alone or with another person, it is best to consult a lawyer
to determine which form of business organization will be best for you. Your choices
and the benefits of each form are essentially as follows:

Sole Proprietorship: A sole proprietorship is one person alone. He or she
will have unlimited liability for all debts of the business, and the income or
loss from the business will be reported on his or her personal income tax
return along with all other income and expense he or she normally reports
(although it will be on a separate schedule). Although proprietorship avoids
the expense of forming a partnership or corporation, many start businesses
this way because they are unfamiliar with the other forms of organizations.

General Partnership: In a general partnership, each of the two or more
partners will have unlimited liability for the debts of the business. The
income and expense is reported on a separate return for tax purposes, but
each partner then reports his or her pro-rata share of the profit or loss from
the business as one line on his personal tax return.

Limited Partnership: With a limited partnership, each of the general
partners has unlimited liability for the debts of the partnership, but the
limited partner's exposure to the debts of the partnership is limited to the
contribution each has made to the partnership. With certain minor
exceptions, the reporting for tax purposes is the same as for a general
partnership.

Corporation: A corporation provides limited liability for the investors.
Except as indicated below, none of the shareholders in a corporation is
obligated for the debts of the corporation; creditors can look only to the
corporation's assets for payment. The corporation files its own tax return
and pays taxes on its income. If the corporation distributes some of its
earnings in the form of dividends, it does not deduct the dividend in
computing its taxes, but the shareholder recipients must pay taxes on those
dividends even though the corporation has paid taxes on its earnings. A
corporation has some tax benefits such as deductibility of health insurance
premiums.
Source: http://www.myownbusiness.org/s4/index.html#1
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Types of ownership:
Advantages and disadvantages
Ex. Ownership Type________________________________________________________________________
Advantages
Disadvantages
Sole proprietorship________________________________________________________________________
1. Low start-up costs
2. Greatest freedom
3. All profits to owner
4. Owner in direct control
1. Unlimited liability
2. Lack of continuity
3. Difficulty in raising capital
Partnership__________________________________________________________________________________
1. Easy to form
2. Low start-up costs
3. Divided authority
1. Unlimited liability
2. Lack of continuity
3. Divided authority
4. Difficulty finding suitable partner
Corporation_________________________________________________________________________
1. Limited liability
2. Specialized management
3. Ease of raising capital
1. Close regulation
2. Most expensive to organize
3. Extensive record-keeping
Franchise____________________________________________________________________________________
1. Smaller than usual capital investment 1. Possible high franchiser fee
2. Prior public acceptance of product
2. Some loss of independence
3. Better than average profit margins
3. Possible difficulties in cancelling contract
4. Management assistance
Source: Master Curriculum Guide: Economics and Entrepreneurship, copyright © 1991,
National Council on Economic Education, New York, NY. All rights reserved
81
Appendix 3-2
82
Appendix 3-3
Sweet Opportunities: Client Bios
Client 1
Client 1: Elise MacMillan and her brother Evan co founded The Chocolate Farm in
Englewood, Colorado, in the late 1990s.
Siblings taste success, and how sweet it is
Young brother and sister team share in a chocolate business
By Ross Atkin Staff writer of The Christian Science Monitor / February 7, 2001
Like many youngsters, Elise Macmillan loves playing around in the kitchen. In her
case, though, these culinary experiments haven't led to just messy pots and pans,
but to profits.
Elise, 12, is co-founder with her brother, Evan, 15, of the Chocolate Farm, a
successful gourmet business in Denver that sells her chocolate creations to a
growing clientele.
The business has outgrown the family kitchen and now operates out of the Denver
Enterprise Center, a small-business incubator, where the siblings share a
commercial kitchen with other companies. The R&D work, however, is still
handled by Elise in the Macmillan home, about a 20-minute drive away.
"At the Enterprise Center, where you pay by the hour to use the kitchen, we
concentrate on making our products," says Elise during an early-morning phone
conversation, conducted before leaving for middle school. "At home, when I have as
much time as I want, I can experiment with things. I get ideas from friends and
family, and then I change them a little bit."
Elise's kitchen adventures began at age 3, when her Canadian grandmother showed
her how to make Rice Krispie Treats. Thereafter, says her mother, Kathleen
Macmillan, Elise was forever creating confections from chocolate chips.
"I'd open the refrigerator and find chocolate melted on celery with peanut butter
and all kinds of funny things," Mrs. Macmillan says.
83
These sessions, including an occasional microwave explosion, didn't go unnoticed by
Evan, who several years ago was selected to serve on the advisory board of the
Young Americans Bank, which is for those 21 and under.
The bank promotes financial education and entrepreneurship and holds an annual
Holiday Marketplace, so Evan encouraged Elise to participate. She concocted
something called a Pig in Mud, which is a marshmallow dipped in melted caramel
and pecans, then dipped in chocolate. She also sold molded chocolate cows on a
stick and "Farm Eggs," jelly beans dipped in chocolate.
The themed-base candies, inspired by the farming backgrounds of Evan and Elise's
grandmothers, were a hit and sold out quickly.
After that the Macmillans' Chocolate Farm began filling orders from family and
friends, but its reputation for fun, well-made products was soon to reach a wider
audience, helped by a presence on the Internet and selection for the Ernst and
Young Entrepreneur of the Year Award winner in 1999.
Elise has a knack for product development and packaging, and Evan is the "business
guy" and computer master.
He knew the Internet's potential from designing a website about author John
Steinbeck for a school project. E-mails poured in, making it one of the most visited
Steinbeck sites on the web. "It was amazing," says Evan. "I've taken down the site
because it was taking a lot of time to answer all the questions people sent it."
For the Chocolate Farm, he's developed an inviting website
(www.chocolatefarm.com) that reflects a grasp of e-commerce.
Mrs. Macmillan and her husband stay in the background. They support the business
while making sure Evan and Elise run it as much as possible. "It's their business, and
we want them to learn," she says. "But like any parents, we want to prevent huge
mistakes, the pain of which will be more than the lesson."
David Gonzales, director of the Denver Enterprise Center, says young people have
more entrepreneurial potential than many realize, but the key to its proper
development is parents.
Speaking of the role Elise and Evan's mother plays, Dr. Gonzales says, "She's kept
everything in perspective for them. "These kids don't have a big head about the
business, which could tend to happen. They've had a lot of publicity, but the kids are
really grounded."
Gonzales says he was impressed with their demeanor and the way they carried
themselves from the moment they applied for space in the Enterprise Center. The
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Chocolate Farm is viewed as a pilot project that could lead to a youth-business
incubator.
The center provides a sense of community to budding entrepreneurs, and the
Macmillan children have fit right in. "The other people in the kitchen really like
them," says Gonzales, who adds they have a good relationship with low-income
people from the neighborhood hired by the Chocolate Farm and other companies.
The Chocolate Farm generates more orders than the Macmillans can handle alone,
so about a dozen part-time workers help, in addition to friends, who also get paid.
Gonzales says that having the Chocolate Farm in the center, where tenants generally
stay three years, has been an inspiration to other entrepreneurs. He notes: "People
are watching and saying, 'My gosh, look at how they're doing all this stuff. We better
get with it.' "
Elise is the one who usually has her friends come and work in the kitchen. Evan
concentrates on office tasks. He orders chocolate by the ton, writes checks for rent
and work performed, and keeps tabs on what's selling, among other duties.
Their most popular item is a sampler called the Chocolate Farm Classic, which sells
for $20 (including shipping). It comes with two chocolate cows on a stick, two Pigs
in Mud, eight Chocolate Paws (with pecans and caramel), six Chocolate Clouds
(dipped marshmallows), and Lemon Sheep Munch (a white chocolate and lemon
chips mixture shaped like a sheep).
Business picks up around Christmas and Valentine's Day, and filling orders could be
overwhelming, with thousands visiting the company website daily, except the family
works together to keep the business from burdening the children.
"There's a lot of teamwork," says Elise. "We get together in little meetings and
discuss everything."
The children know schoolwork takes priority over business. And while they think of
the business often, they stay busy with other pursuits, too. Evan, a freshman at
Cherry Creek High School, is on the school tennis team and plays year round, and
Elise, a seventh-grader, plays the violin, takes jazz dance classes, and is on her
school's track team.
Elise doesn't keep tabs on how much time she devotes to the business, but mostly
goes in on weekends, sometimes spending five or six hours.
The family insists on quality in every aspect of the business, says Gonzales, who
points to the work they've done to attractively decorate a 2,500 square-foot office
space in the Enterprise Center and to the Chocolate Farm's newly published
cookbook, a visual delight.
85
When the new office opens, the plan is to invite school classes in for field trips so
that they can learn about starting a business, and maybe try their hand at making a
chocolate cow or two.
A business can be a wonderful family activity, Gonzales says, because "it gives you
an opportunity to focus on something that involves the whole family, which is great.
There are very few activities that do that."
(c) Copyright 2001. The Christian Science Publishing Society
Source: http://www.csmonitor.com/2001/0207/p13s1.html/%28page%29/2
Client 2
Client 2: Milton Hershey broke ground for his chocolate factory near Lancaster, PA
in 1903. It was the beginning of what would become Hershey Foods Corporation.
www.hersheys.com
AT A GLANCE:
Ever since Milton Hershey introduced the Hershey milk chocolate
bar to the world in 1900, he never looked back. The company,
products, town and institutions that bear his name were well
positioned to continue and grow. The Hershey Chocolate
Corporation has evolved into Hershey Foods Corporation, a
profitable company encompassing a range of products found in
homes throughout the world.
Inventor: Milton Snavely Hershey
Birth: September 13, 1857 at Derry Church, Pennsylvania
Death: 1945 at Hershey, Pennsylvania
Nationality: American
Invention: Hershey bar in 1900
Function: noun / chocolate bar named by its inventor
Definition: A bar of milk chocolate made by the Hershey
Chocolate Company.
Trademark: # 0054041 (US) registered June 19, 1906
Milestones:
1876 starts a candy business in Philadelphia, PA business fails after six years
1882 Hershey moves to Denver to learn the Caramel making business
1882 starts a candy business New York City, NY this business also fails
1890 starts a caramel business in Lancaster, PA, business is not only good, its great
86
1893 visits World’s Columbian Exposition in Chicago and learns about chocolate machinery
1894 aware of the growing demand for chocolate, he started the Hershey Chocolate
Company.
1900 sells his caramel company for $1 million and devotes attention to making chocolate.
1900 finds the right formula of milk, sugar and cocoa that lead to the Hershey bar
1903 moves company to his birth town Derry Church, Pennsylvania and builds his new
factory
1906 the community he had established for the workers was renamed Hershey,
Pennsylvania.
1909 founded the Hershey Industrial School, a school for orphan boys.
1918 transferred ownership in the Hershey Chocolate Company to the Hershey Trust
2004 Milton Hershey's mansion serves as the headquarters for Hershey Foods Corporation.
The Story:
Raised in rural central Pennsylvania, hampered by the lack of a formal education
and nearly bankrupt by the time he was 30, Milton S. Hershey went on to become
not only one of America’s wealthiest individuals, but also a successful entrepreneur
whose products are known the world over, a visionary builder of the town which
bears his name and a philanthropist whose open-hearted generosity continues to
touch the lives of thousands.
Following a four-year apprenticeship as a teenager to a Lancaster, Pennsylvania,
candy maker, Hershey in 1876 attempted to start his own candy business in
Philadelphia. Despite six years of hard work, it failed. So he moved to Denver and
found work with a confectioner who taught him how to make caramels using fresh
milk. He then started up a second candy business in New York City. It also failed.
Undaunted, Hershey returned to Lancaster and once again tried making a go of the
caramel business. This time, it worked. Soon, his Lancaster Caramel Company was
shipping all over the U.S. and Europe, employing 1400 people and turning him into
one of the area’s leading citizens.
It was at the 1893 World’s Columbian Exposition in Chicago that Hershey first
became fascinated with the art of chocolate making. While there, he purchased some
German machinery, had it shipped to Lancaster and began producing chocolate
coatings for his caramels. But aware of the growing demand for chocolate itself, he
soon started the Hershey Chocolate Company.
For years, he worked at perfecting a viable recipe for making milk chocolate -- a
process which up to then had been kept a closely guarded secret by the Swiss.
Finally, through trial and error, he hit upon the right formula of milk, sugar and
cocoa that enabled him to realize his dream of mass producing and distributing milk
chocolate candy. What had once been a luxury for the rich, was to become an
enjoyment that anyone could afford...the Hershey bar.
With his Hershey Chocolate Company growing by leaps and bounds, Hershey
87
decided to sell his caramel company (for $1 million, an enormous sum in 1900!) and
devote his attention to making chocolate.
Discovering a need to expand his production capacity, he began looking around for a
suitable place to build a new factory. He found it in nearby Derry Township, where
he had been born. Convenient to the port cities that could provide cocoa beans and
sugar, surrounded by dairy farms and endowed with a hardworking populace, the
area seemed ideal. In 1903, he broke ground.
Hershey’s success was not simply a matter of luck. Having learned from his past
failures, he had become a shrewd and astute businessman. He believed, along with
the more forward-thinking industrialists of the age, that workers who were treated
fairly and who lived in a comfortable, pleasant environment would be better
workers.
Accordingly, he set upon building an infrastructure to take care of the people who
were employed by his company. He had plans drawn up for a model community that
included housing for executives and ordinary workers alike, schools, churches,
parks, recreational facilities and a trolley system. Unlike other “company towns,”
Hershey’s was not intended to exploit its resident workers, but rather to provide for
their welfare. In 1906 the community he had established for the workers in his new
factory was renamed Hershey. As time went on, Hershey saw to it that the town
added a community building, a department store, a convention hall, an amusement
park, a swimming pool, and schools. Lots of schools.
For the farm boy who never had much chance at education himself, providing that
opportunity for others was always an important priority. As early as 1909, Hershey
and his wife Catherine established the Hershey Industrial School, a school for
orphan boys. Today named the Milton Hershey School, it has since opened its doors
to girls as well.
He also made sure that the town of Hershey had the finest elementary and
secondary schools possible. There were even plans for a junior college. In 1918 and
with no fanfare, Hershey transferred the bulk of his considerable wealth, including
his ownership in the Hershey Chocolate Company and other enterprises, to the
Hershey Trust to be held for the Hershey Industrial School.
With the death of Milton Hershey in 1945, the company, town and institutions that
bear his name were well positioned to continue and grow. The Hershey Chocolate
Corporation has evolved into Hershey Foods Corporation, a profitable company
encompassing a range of products found in homes throughout the world.
The town of Hershey, with its many attractions, has become a popular destination
for both vacationing tourists and business conventioneers. The Milton Hershey
School, along with Hershey’s other philanthropic endeavors, have expanded and
prospered, with the school housing and educating hundreds of boys and girls. In a
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long and useful life, Milton S. Hershey proved himself to be a courageous
entrepreneur, a determined builder and a compassionate humanitarian.
Source: http://www.ideafinder.com/history/inventors/hershey.htm
Client 3
Client 3:
guide.opendns.com/?url=www.moneyhaven.com%2Fentrepreneurs%2Fmars.html
invited Bruce Murrie, an investment banker and son of the Hershey company
president, to be his partner in M&M Ltd. The M&Ms we still eat today were first sold
to the public in 1941. The letters in "M&M" stand for Mars & Murrie. Eventually,
Murrie left the business but Forest Mars became the owner of Mars, Inc.
www.mars.com/Default.aspx
Interesting Book Bio: ''The Emperors of Chocolate: Inside the Secret World of
Hershey and Mars'' (Random House, 1998)
M&M's®
Chocolate lovers around the world have none other than Forrest E. Mars, Sr. to
thank for the milk chocolate candies that “melt in your mouth, not in your hand.”
The candy, of course, is M&Ms®, and not only did Mars invent, patent, and market
the creation but he also built a chocolate candy empire via the multinational
conglomerate that would become M&M®/Mars, Inc.
Mars was born on March 21, 1904 in Minnesota and raised in Canada after his
parents' divorce. He entered the University of California at Berkeley and later
transferred to Yale University where he completed a degree in industrial
engineering in 1928. He was a highly competitive individual with a gift for business.
His father, Frank C. Mars, had been operating a successful candy business of his own
in Chicago. He reunited with his son and invited him to work with him. From this
company, Mars, Inc., established in Frank’s home in Tacoma, Washington in 1911,
came the ever-popular Snickers, Milky Way, Three Musketeers and Mars bars. The
younger Mars wanted to expand, but his father did not, so he took a buyout from his
father, along with the rights to sell some of the Mars brands overseas, and moved to
England.
89
In Europe, Forrest Mars worked for Nestle and Tobler to learn more about the candy
business. He also set up a small candy factory in England. Eventually he moved back
to the U.S. and opened his own food manufacturing business, Food Products
Manufacturing, where he established the Uncle Ben’s rice line, and later, gourmet
pet food. In 1940, he made his first, independent move into the candy business in
the United States.
Somewhere in his travels, Mars had come across a candy that was essentially tiny
chocolate pellets surrounded by a sugar shell. He may have seen soldiers eating
them during the Spanish civil war; no one seems to know for sure. What is known is
that in 1940, Mars concocted his own version of candy-coated chocolate drops and
took them to the Hershey Corporation. There he proposed an 80-20 partnership to
Bruce Murrie, the son of Hershey executive William Murrie, where Bruce would be
the 20-percent partner. At the time, World War II was developing, and chocolate
would be rationed during this period. The Hershey Corporation, however, already
had a deal to provide chocolate for the troops.
The savvy Mars struck a deal with Hershey via Murrie, whereby Murrie would
provide some capital, and Hershey would provide chocolate, sugar, and technology.
The partners named the product for the first initials of their last names: M&Ms®.
The design was patented on March 3, 1941. That year, M&M®, Ltd. began
production in Newark, N.J., and the first M&Ms® went on sale. The candy, originally
sold in paper tubes, came in brown, yellow, orange, red, green and violet, later
replaced by tan. A year later, World War II began, and M&Ms® were immediately
popular among soldiers because of the candies’ ability to travel well and withstand
high temperatures. Soon the Armed Forces incorporated M&M's® into soldiers' CRations and sold them in Post Exchanges and Ships Service Stores.
In 1945, the war ended, and M&M's® become available to general public again.
Soon, Mars bought Murrie out and took sole ownership of the M&M® brand. In
1950, the company began imprinting an 'm' on each candy to ensure customers they
were getting the original, “real thing.” They also began heavy national advertising.
In 1954 M&M® Peanut Chocolate Candies were introduced, and the black M&M®
imprint was changed to white. That year the company also began television
advertising using cartoon characters and launched its famous M&M® slogan, "The
milk chocolate melts in your mouth, not in your hand." By 1958, demand for
M&M's® had surpassed 1 million pounds per week. In 1981, M&M's® even went to
space. They have since been included with food rations for astronauts on more than
30 shuttle flights. M&Ms® were also the official candy at the 1984 Olympics in Los
Angeles.
After his father’s death, Mars took over the family business, Mars, Inc., and officially
merged his company with it in 1964. During the course of his career he also
90
patented a line of vending units that used electronic recognition system instead of
the typical weight drop mechanism.
He retired from Mars, Inc. in 1993 and started a new candy company, Ethel M.
Chocolates, which soon had sales in the hundreds of millions. Ethel M., named for
Mars’ mother, joined M&M® Inc. and Dove as M&M®/Mars in 2003. Today brands
include Dove ice cream bars, Combos, Twix, Kudos, and pet food brands Kal Kan and
Pedigree.
Mars died on July 1, 1999, at the age of 95. At the time of his death, his estimated net
worth of $4 billion, according to Forbes magazine, made him one of the richest
people in the U.S.; his sons, Forrest Mars, Jr. and John Mars are now executives with
the candy company and also said to be of high net worth, along with his daughter,
Jacqueline Mars Vogel. Based in Hackettstown, N.J., M&M®/Mars employs 30,000
worldwide with sales of more than $20 billion per year.
Source: http://web.mit.edu/invent/iow/mars.html
Client 4
Client 4: Wally Amos launched the Famous Amos Cookie Company in a Hollywood,
CA storefront on Sunset Boulevard in 1975. www.famous-amos.com
Wally Amos, Famous Amos Gourmet Cookie Creator
Bio:
“The face that launched a thousand chips,” Wally Amos is the father of the gourmet
cookie industry. As inventor of “Famous Amos” cookies, his story is the
quintessential American success story.
The “Famous Amos” cookie tale began when the talent agent began using his bitesized cookies as calling cards. At the urging of his friends and clients, he launched
the Famous Amos Cookie Company in 1975 with a Sunset Boulevard storefront in
Hollywood. The business grew and in 1985, Famous Amos cookies were a $10
million business. Great products are not built on great taste alone, and Famous
Amos’ success is as much due to Wally’s infectious enthusiasm and tireless
promoting as it is to the cookies’ delicious taste.
91
While he left the brand after it changed hands several times between 1985 and
1998, he never lost his entrepreneurial zeal or passion for baking and promoting.
Wally Amos's most recent ventures now are a Long Island-based Uncle Wally’s
Company, which specialized in a full line of muffins, and the Orlando-based Aunt
Della's Cookies, named for the woman who taught him, as a youngster, the art and
love of making cookies.
Before his cookie foray, Wally Amos spent a stint in the Air Force (where he earned
his GED), and at Sak’s in New York. He then joined the William Morris Talent Agency
and worked his way up to become the firm’s first black agent. While at William
Morris, Wally represented The Supremes and Marvin Gaye, and he is credited for
signing a then-unknown duo named Simon & Garfunkel.
Wally has appeared on hundreds of television and radio shows, appeared in various
network sitcoms and acted as spokesman for Hush Puppies, United Airlines and the
California Egg Board. He is host and teacher of 50 adult basic learning programs on
PBS, and has authored four books, his most recent being "The Cookie Never
Crumbles, Inspirational Recipes for Everyday Living."
In addition to his business, Wally Amos devotes a great deal of time and passion for
literacy causes, serving as national spokesman for the Literacy Volunteers of
America and acting as a board member for the National Center for Family Literacy
and Communities in Schools.
Wally Amos, 67, has been married for 27 years to his wife, Christine. They reside in
Hawaii.
Source: http://premierespeakers.com/wally_amos/bio
92
Appendix 3-4
Activities and Questions for Client
Bios
Read about one of these persons and the business he or she created. Then report
your findings about what happened to the entrepreneur and the business. Be sure to
include answers to the following questions.
1.
2.
3.
4.
5.
6.
7.
What has happened to the founder of the business?
Is he or she still involved with the company?
What other things has he or she done?
Who owns the business?
How has the business changed?
Has the company been involved in any mergers or acquisitions?
What products does the company sell?
TIP: If a company has incorporated and is publicly traded, another source of
information will be Hoover’s Online Directory at www.hoovers.com .
CONCLUSION:
Starting any business is risky. According to one report, two out of three new
businesses fail within their first four years. You can reduce the risk – and increase
your chance of sweet success—by choosing the form of business ownership that
best suits your new business and personal interests. You will have to consider the
following:








The resources needed to start and expand the business.
Your level of expertise for starting and managing a business.
Your willingness to share decisions and profits.
The level of liability you and any potential partners are willing to accept.
The tax implications of your choices.
Your willingness to re-invest earnings into the business.
How long you see yourself and any partners involved in the venture.
Whether this venture is something you want to live on after you and any
partners are gone.
Source: http://www.econedlink.org/lessons/index.php?lesson=533&page=student
93
Date:
February 23,
2010
Course:
Unit:
Lesson #/ Time:
CIE3M- The Individual
Financial Management
Lesson #4 (Days 9,
and the Economy, Grade and Business
10, 11 of 16): 225
11, U/C Preparation
Organization
minutes
Topic/Lesson Title: Achieving Bang for Your Buck: Profitability
Description:
The purpose of this lesson is for students to gain an understanding of the importance of
profit for businesses in the private sector.
Students will identify factors affecting profitability and investigate how the profitability of
the business they investigated in Lesson 3 is impacted by these factors. They will use their
research results to build on their business profiles created in Lesson 3, which will be used
for business investment opportunities in the CA.
Students will also learn about how producers determine efficient resource allocation and
critically analyze the impacts of our current methods of production on our planet.
During this three-day lesson, the expectations for the CA will be clearly outlined and the
students will be prepared to begin the simulation in the period following this lesson.
STRANDS:
Specific Expectations:
6. Economic Stakeholders (ES)
ES4.03 - analyse a current issue (e.g.,
7. Economic Institutions (EI)
pollution), identifying how the economic
8. Methods of Economic Inquiry and rights of individuals must be balanced by
Communication (ME)
economic responsibility and public
Overall Expectations:
accountability (p. 31 – analysis)
ESV.04 - describe the economic rights
EI2.02 - explain the importance of profit in
and responsibilities of citizens (p. 31 –
the private sector and the factors that
analysis)
determine the profitability of a business (e.g.,
EIV.02 - explain the functions of markets, demand, production costs, amount of
profits, and the process of economic
competition) (p.33 – comprehension)
decision making in the private sector
EI2.03 - explain how producers determine
(p.33 – comprehension)
the most efficient way to use resources and
MEV.02 - analyse specific economic
how much to produce (p.33 – comprehension)
situations, using appropriate economic
ME2.02 - use economic concepts (e.g., supply
concepts, models, and methods of
and demand) to analyse and describe an
economic inquiry (p. 35 – analysis)
economic reality or choice (p. 35 – analysis)
Prior Knowledge Required:
 Research skills for investigating local businesses, taught in Lesson 3
 Cooperative learning experience and knowledge of TPS Kagan structure in
particular; respect agreements in place
 Experience with economic decision-making (Unit 1)
 General understanding of supply and demand (Unit 2)
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Accommodations / Special Needs:
 Ensure that overheads are clear and font is large enough for all students
 Groups should include students with a range of abilities and personalities,
facilitating collaboration and leading to greater student success
 Instructions are given orally but key points written on the board as well
 Student with poor motor skills has a laptop for note-taking: email this student the
Truffles Note-Taker template so the student can take notes electronically; also
assign this student a scribe for the “Story of Stuff” placemat activity
 For the students learning English (ELLs): provide definition list prior to the lesson,
ensure access to dictionary, provide transcript for audio file and video clip, ensure
they are comfortable, through private discussions, prior to class presentations
 Enrichment: for those students with strong understanding of profit, facilitate their
development of the understanding of profit maximization as a math optimization
problem
Teacher Resources:
Agenda:
Audiovisual:
Day 1
- Overhead projector
5. Toyota’s Profitability
- Overhead slides (App. 1, 2, 6, 8)
6. Profitability- Importance and Factors
- Marketplace audio clip from
7. Truffles Audio Clip and Notes
http://www.econedlink.org/lesso
8. CA Outline Distribution
ns/index.php?lesson=762
9. PREP- business research
- Story of Stuff video clip from
Day 2
http://storyofstuff.com/
5. CA Instructions and Questions
- Speakers
6. Truffles Scenario Discussion
- LCD projector (Day 3)
7. Profit and Resource Allocation
Computer:
8. Complete Business Profiles
- Computer (Days 1 and 3)
9. PREP- read CA handouts, questions?
Print:
Day 3
- Index cards with students’ names
5. CA rules, purpose, reflections
- Truffles activity answers (App. 7)
6. Watch the “Story of Stuff” Video Clip
Student Resources:
7. “Story of Stuff” Questions
Print:
8. “Story of Stuff” Presentations
- Handouts (App. 3, 4, 5, 10)
- Story of Stuff questions on chart
paper and markers
Planning Notes:
 Students should be seated in heterogeneous groups of four to promote
collaboration and several activities assume this group setup
 This lesson builds on Lesson 3 and must follow that lesson
 It is essential that all students understand the process and the purpose of the CA
which will begin the period after this lesson- must reach absentees
 The teacher should have an understanding of students’ varying abilities in order to
group students effectively
 The teacher should have an index card for each student with his/her name on it
 Ensure that copyright laws are not broken by showing video or playing audio clip
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Appendices:
3. Overhead: Toyota Headlines
4. Overhead: Profitability Q’s
5. Handout: Note-Taker
6. Handout: Business Profitability
7. Checkbric for Business Profiles
8. Overhead: Truffles Questions
9. Truffles Answers
10. Overhead: Definitions
11. Story of Stuff Questions
12. Checklist for Presentations
Teaching-Learning Strategies:
 Cooperative Learning Strategies- TPS,
Placemat Adaptation, Numbered
Heads (K/U, T/I, A)
 Direct Instruction (K/U)
 Note-taking from Audio Clip (K/U, C)
 Role Play (Truffles Decisions) (T/I, A)
 Research and Profile Creation (T/I)
 Group Presentations (C)
Assessment Chart:
Task
Factors
Influencing
Profitability
Truffles NoteTaker
Truffles Group
Discussion
Profitability
Addition to
Business Profiles
“Story of Stuff”
Question
Responses
“Story of Stuff”
Brief
Presentations
Tool
Achievement
Chart
Category
Assessor
Value
Observation
K/U
Teacher
Formative
Observation
K/U
Self/Peer
Formative
Observation
T/I, A
Teacher
Formative
Checkbric
T/I, A
Teacher
Formative
Observation
T/I, A
Teacher
Formative
Checklist
C
Peer
Formative
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Lesson Plan
Mental Set/Sharing Expectations (completed on day 1, but applies to all days)
Mental Set (12 mins):
The teacher puts up overhead slide (Appendix 1) of news headlines from February
8- February 10, 2010 concerning Toyota’s mass recall of cars. The teacher gives
students time to read the headlines and asks them what this is about. A brief
discussion follows to ensure that all students have an understanding of this current
event. At the end of this discussion, the teacher asks what it means for a company to
be profitable and covers that profit = total revenues – total costs.
The teacher has the students pair up (a group of three is okay if odd number) for
TPS question- “How do you think Toyota’s profitability will be impacted by this
mass recall? Explain why you think this will be the case.” The teacher gives the
students three minutes to think and share with their partner. The teacher then asks
the partner with the shortest hair to stand up and selects a couple of standing
students to share their answers with the class.
Sharing Expectations (3 mins):
As this lesson will continue over three periods, the teacher explains the expectations
for the three days. This involves discussing all expectations that will be covered and
briefly outlining how, as well as stressing the importance of understanding the
process and expectations for the CA, which will begin the period after this lesson.
Day 1
Input and Check for Understanding (15 mins):
Discussion about Toyota leads into discussion about profitability. Students are
sitting in groups of four (or heterogeneous groups of four should be created, if this
hasn’t been done already). The teacher puts up slides with profitability questions
(Appendix 2). Groups are given about 5 minutes to discuss and should be instructed
to jot down notes from their discussion because anyone could be called on to
respond.
While groups are discussing, the teacher should circulate ensuring students
understand the concepts and especially ensuring that the English Language
Learners are comfortable with the terms. The teacher then chooses students, from
index cards, who will share their responses with the class. The teacher should
compile a list of factors influencing profitability on the board based on student
responses. The teacher should clear up any misconceptions to ensure students
understand profitability concepts.
Input and Modeling (15 mins):
Teacher distributes the Note-Taker (Appendix 3) and should model how to
complete the handout. The teacher should introduce the news piece and clarify that
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this is referring to truffles that are a type of fungi, similar to mushrooms, and are
highly prized food in some European countries, as opposed to chocolate truffles.
The teacher reads the instructions on the handout to ensure that the students know
what to do. The teacher then plays the Marketplace audio file “The Trouble with
This Year’s Truffles” from 22:20 through 26:10 while the students fill in the NoteTaker. The link to the clip can be found in the following Econ Ed lesson outline, from
which this portion of the lesson has been adopted2:
http://www.econedlink.org/lessons/index.php?lesson=762.
Once it has finished, the teacher should then play the clip a second time. The English
Language Learners should be given a transcript of the file and the student with poor
motor skills should be emailed the Note-Taker document in advance.
Practice and Check for Understanding (15 mins):
The teacher should generate random partners and these students should get
together and discuss their notes. This will allow them to check their understanding
of the audio file. They will then work together to respond to the questions.
CA Input and PREP (10 mins):
The teacher explains the prep assigned for this evening and why it is imperative that
students complete it. Students must use the research skills they acquired during the
Business Organization Lesson to research further into the business they selected as
a group in Lesson 3. Students will research and take notes on the handout
(Appendix 4), which should be distributed along with the checkbric for the profile
(Appendix 5). It is imperative that groups have this information for class the next
day, as they will be updating their business profiles during class time. It is important
to explain that these business profiles will be used for investment opportunities in
the CA.
The teacher takes this time to distribute the student process and instructs the
students to read it over and formulate any questions. The consulting teams were
formed in Lesson 3; however, students have not been assigned roles. They must
decide on their manager roles this evening and complete the signup sheet for next
period. The teacher must explain that teams are responsible for their members and
all CA information is vital and must be passed on to absent members.
Day 2
CA Input (5 mins):
Council for Economic Education Technology Staff. "Marketplace: The Trouble with Truffles."
EconEdLink. Web. 6 Feb. 2010. <http://www.econedlink.org/lessons/index.php?lesson=762>
2
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The teacher responds to any questions about the CA and goes over simulation rules,
the purpose of the CA and reflection requirements. Assessment handouts will be
distributed and outlined. The teacher collects the role signup sheet from each team.
Modeling and Check for Understanding (5 mins):
The questions from the Truffles audio clip are taken up. The answers can be found
in Appendix 7. This serves as a check but also reminds the students of the material
covered in the clip.
Practice (20 mins):
The students are seated in groups of four, or should be grouped randomly if this is
not the case already. Students will role-play as restaurant owners who must decide
what to do in light of the shortage of truffles. The teacher puts up the overhead slide
with questions for the groups to consider (Appendix 6). Groups discuss the
questions, with each student taking notes during the conversation.
Check for Understanding (10 mins):
Teacher numbers the students in each group from 1 through 4. The Numbered
Heads strategy will be used to promote accountability for the group discussion. The
teacher uses a spinner to select a number between 1 and 4 for each question.
Students stand when their number is chosen and the teacher selects some students
to respond to each question. This will lead to a group discussion to debrief this
activity. The teacher observes students’ level of understanding about profitability
and resource allocation.
Modeling and Practice (30 mins):
Students get into their CA groups with their research notes from the previous night
and each group has a copy of their business profile from Lesson 3. Half an hour will
be given for each group to write an addition to their profile. This addition needs to
summarize the answers to the questions they researched. The modeling of
expectations has been done through the checkbric distributed in the previous
period. Students will be assessed based on the criteria in the checkbric.
Teams must submit their updated profiles at the end of the period and the teacher
must assess them and provide feedback for the next period. It is imperative that the
teacher clears up any misconceptions before the CA and the profiles need to be
accurate in order to be used in the CA.
PREP:
Read through all CA sheets and return with questions.
Day 3:
CA Input (15 mins):
This is the time where it is essential that all students understand the CA process, as
the simulation will occur in the next class period. The teacher elaborates on the
99
simulation rules, the purpose of the CA and the requirements for the reflection. The
teacher comments on the business profile submissions and clarifies any common
profit misconceptions.
Input (10 mins):
The teacher plays the Story of Stuff movie clip via the computer onto the LCD
projector. The movie clip can be found here: http://storyofstuff.com/. The teacher
only plays the Production chapter. Following this short clip, the teacher asks for any
initial student reactions or “wow” moments.
Input (10 mins):
The teacher puts up the overhead slide with the three definitions (Appendix 8). The
teacher goes through each definition slowly and in detail, underlining key terms.
Modeling and Practice (20 mins):
The teacher divides the class into 6 groups of 4-5 students. Three groups will rotate
on one half of the classroom while the other three will rotate on the other side.
There are three questions (Appendix 9) and each group will have 5 minutes to
brainstorm ideas and record their thoughts on the chart paper for each question.
Each piece of chart paper has the question in the middle and is divided into three
parts. Each team has a designated area to write their point form notes in. Every
student must write something on each sheet. Different coloured markers are given
to each member within a group to help monitor this criterion. The student with poor
motor skills is assigned a scribe.
The teacher models how the placemats should be filled in and how the rotation
between stations will work.
Check for Understanding (20 mins):
Each team gives a brief presentation (2 minutes) summarizing the responses to the
last question they encountered in the rotation. Each group member must say
something during the presentation. The teacher assigns each group a different
group to peer-assess. Groups will use the checklist (Appendix 10) for the
assessment and are asked to provide useful feedback to the presenters. Modeling
useful feedback is imperative here. This connects to the CA as students will have to
present and they will be evaluated based on some of the same criteria in the
checklist. This will help students learn peer-assessing skills and functions as
assessment as learning as they can learn to reflect on their own presentations.
PREP:
Arrive prepared to begin the CA simulation at the beginning of next period.
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Lesson Plan Appendix
Achieving Bang for Your Buck: Profitability
Sources/Acknowledgements of Appendix Materials
Number Title
Source/Acknowledgement
A-1
Toyota Headlines
http://news.google.com/
A-2
Profitability
Questions
Original
A-3
Note-Taker
Council for Economic Education Technology Staff.
"Marketplace: The Trouble with Truffles." EconEdLink. Web. 6
Feb. 2010.
<http://www.econedlink.org/lessons/index.php?lesson=762>
A-4
Business
Profitability
Research
Original
A-5
Checkbric for
Business Profiles
Original
A-6
Truffles Questions
Council for Economic Education Technology Staff.
"Marketplace: The Trouble with Truffles." EconEdLink. Web. 6
Feb. 2010.
<http://www.econedlink.org/lessons/index.php?lesson=762>
A-7
Truffles Answers
Council for Economic Education Technology Staff.
"Marketplace: The Trouble with Truffles." EconEdLink. Web. 6
Feb. 2010.
<http://www.econedlink.org/lessons/index.php?lesson=762>
A-8
Definitions
Adapted from Amnesty International website and
http://www.businessdictionary.com/
A-9
Story of Stuff
Questions
Original
A-10
Checklist for
Presentations
Adapted from the Peer-Evaluation for Presentations
in the CA by Jessica Woolard
101
A-1: OVERHEAD MASTER: Toyota Headlines
Toyota recalls 430000 Prius cars over brakes
Toyota Recall Cost to Exceed $2 Billion, Lawyers
Say
Toyota recalls 155000 Prius and Lexus vehicles in
US
Owner fears her Toyota is next on recall list
Toyota on damage control as scope of recall
increases
Toyota crisis shakes hometown, and Japan Inc. too
Toyota president: 'We failed to connect the dots'
Toyota PR blitz plays catch-up after storm of
problems
Toyota Prius recall: Japanese in shock over
carmaker's fall from grace
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A-2: OVERHEAD MASTER: Profitability Questions
1. What does it mean for a
business to be profitable?
2. Why is profitability
important for businesses in
the private sector?
3. What are the factors that
determine the profitability
of a business?
103
A-3: HANDOUT: Note-Taker
Course: ________________________
Name: ______________________________
The Trouble with Truffles
Note-Taker
Instructions:
1. Listen to the audio file “The Trouble with This Year’s Truffles”.
2. Record any words you are unfamiliar with in the vocabulary list.
3. Take notes based on what you hear under the headings below.
4. Listen a second time and update your notes.
5. Look up any unknown words in the dictionary and fill in the
definition column.
6. Check your notes with a partner.
7. Work with your partner to answer the questions.
Vocabulary List
Definition
Notes About:
1. Scarcity of Truffles



2. Price of Truffles



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3. Buyers and Sellers of Truffles



Questions:
1. Between January 2003 and January 2004, the price of truffles _________
a) doubled
b) stayed the same
c) tripled
d) decreased
2. Why do you think the price of truffles changed so much in one year?
3. What contributed to the scarcity of truffles?
a) Truffles can’t be produced in laboratories
b) The drought
c) Exactly where and why truffles grow is impossible to predict
d) All of the above
4. If truffles could be mass-produced in a laboratory, what do you think
would happen to the price?
5. According to the news story, what did most restaurants do to
compensate for the high price of truffles?
a) They used smaller quantities of truffles
b) They removed truffles from their menus
c) They raised prices
d) All of the above
6. Why do some restaurant owners continue to use truffles despite the
increased cost? What does this do to their profits?
105
Course: ________________________
A-4: HANDOUT: Business Profitability Research
Name: ______________________________
Business Profitability Research
Instructions:
1. Use the research skills you acquired during your initial research
into the business for your profile in the Business Organizations
Lesson to research the profitability of the same business.
2. Take notes under the following headings based on your research.
3. You will use these notes as well as the notes from the other
members of your team to update your business profile in class.
Research Notes:
Comment on the current profitability of the business.
How does each of the factors influencing profitability apply to this
business?
Demand:
Production Costs:
Level of Competition:
State of the Economy:
What could the owners do to increase profitability? How could
additional funds be used to increase profitability?
106
A-5: Checkbric for Business Profiles
Course: ________________________
Name: ______________________________
Checkbric for Business Profiles
Level
Criteria
The current profitability details are accurate and
1
understanding of profitability is evident.
4
3
2
4
3
2
1
The factors determining profitability have been correctly
applied to the specific business.
4
3
2
1
Creative and feasible suggestions for improving the
profitability of the business.
4
3
2
1
Considerations of opportunities created by additional
funds show understanding of investment opportunities.
4
3
2
1
There are no surface errors in the profile and it is written
in a logical and interesting way.
Comments:
107
A-6: OVERHEAD MASTER: Truffles Questions
1. Will you continue to sell truffles at a
reasonable price, or raise your prices?
2. What are the benefits of keeping your
prices the same for the season even
though you are spending more money to
purchase truffles? How would keeping
prices the same affect your profit?
3. What might happen if you raise your
prices to compensate for the high cost of
truffles? Could this affect your profit?
4. What are the possible effects of
removing truffles completely from your
menu?
108
A-7: Truffles Answers
Truffles Activity Answers
Part 1 (Note-Taker):
1. c
2. Possible answers: there has always been a high demand for truffles; the
drought affected hunters’ ability to find enough truffles; if the demand
exceeds the supply, then the price should go up.
3. d
4. Possible answers: the price should go down because the supply would go
up; restaurants wouldn't have to raise prices because there would be a
potentially limitless supply.
5. d
6. Possible answers: Some restaurant owners continue to use truffles because
they want to keep their customers happy. This makes their profits drop
significantly because the meal costs them so much more to provide, yet the
customers are paying the same price.
Part 2 (Role Play):
1. Answers will vary.
2. If you raise prices to compensate for the additional money you are
spending on truffles, customers will be unhappy. Keeping prices the same for
the season, but doing so may also ensure customer loyalty for future seasons.
3. Your profit could go up because you are making back the additional money
you spend on truffles. The demand for truffles is so high that people are
willing to buy them at any price. Raising your prices could limit your profit if
you lose customers due to the increase.
4. Your profit could increase because you aren't spending money on truffles
and you don't have to raise your prices. Your profit could decrease if people
continue to demand truffles -- they will go to restaurants that serve them.
109
A-8: OVERHEAD MASTER: Definitions
ECONOMIC RIGHTS
- broad category of human rights
guaranteed in legally binding
international and regional human rights
treaties.
-include: rights at work, particularly just
and fair conditions of employment,
protection against forced or compulsory
labour and the right to form and join
trade unions
ECONOMIC RESPONSIBILITY
-process must be economically fair for
those from where products are
produced as well as those from where
they are sold
-eliminate exploitation
110
PUBLIC ACCOUNTABILITY
-obligations of public organizations to be
fiscally and socially responsible to those
who have assigned them these
responsibilities
111
A-9: Story of Stuff Questions
Setup:
Each question should be written in the middle of two pieces of chart paper. This means that
there will be six pieces of chart paper in total. The chart paper should then be divided into
three equal pieces where each group will record their answers.
Questions:
1. Are anyone’s economics rights being violated through our means of production?
How? Why has this occurred?
2. Are firms using the methods of production described in this clip economically
responsible and publicly accountable? Why or why not?
3. What are possible causes of the problems with our current methods of production?
What are some suggestions for improvements to the process?
112
A-10: Checklist for Presentations
Course: ________________________
Names of Assessors: ___________________________________________________________
Names of Presenters: __________________________________________________________
Checklist for Presentations
 
 
Presentation followed logical sequence including introduction, body, and
conclusion.
Team members appeared prepared and understood individual presentation
roles.
 
Each member appeared to contribute to the presentation.
 
Presenters projected their voice so the back of the class could hear them.
 
Presenters did not read directly from notes and looked at the audience when
speaking.
Feedback:
Please give specific feedback on this presentation. Include clear examples of
what they did well as well as something(s) you might improve next time.
_________________________________________________________________________________________________________
_________________________________________________________________________________________________________
_________________________________________________________________________________________________________
_________________________________________________________________________________________________________
_________________________________________________________________________________________________________
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