Let’s Learn about the Stock Market!
By
Marta Osorio
And
Olunife Ojediran
Dr. O’Connor-Petruso
CBSE 7204
Brooklyn College
Spring 2013
Let’s Learn about the Stock Market!
Lesson Title: What is the Stock Market?
Grade Level: 4th grade
Bloom’s Taxonomy:
Comprehension
Application
Analysis
Gardner’s Multiple Intelligence(s):
Logical-Mathematical
Linguistic
Interpersonal
Children’s Literature:
How Economics Works: The Stork Market by Donna Jo Fuller
NYC Science Scope & Sequence
Inquiry Skills:
Communicating – giving oral and written explanations or graphic representations of
observations.
Gathering and organizing - data collecting information about objects and events which
illustrate a specific situation.
Predicting – making a forecast of future events or conditions expected to exist.
Process Skills:
v. Use information systems appropriately.
ix. Order and sequence objects and/or events.
xvii. Observe, collect, organize, and appropriately graph data, then accurately interpret
results.
NCTM Math Skills
Process Standards:
2.3 Develop and evaluate mathematical arguments and proofs
3.1 Communicate their mathematical thinking coherently and clearly to peers, teachers,
and others.
5.2 Create and use representations to organize, record, and communicate mathematical
ideas.
6.1 Use knowledge of mathematics to select and use appropriate technological tools, such
as but not limited to, spreadsheets, dynamic graphing tools, computer algebra systems,
dynamic statistical packages, graphing calculators, data-collection devices, and
presentation software.
Content Standards:
2.1 Patterns, expressions, and equations used to describe, interpret, and model
relationships
4.2 Statistical methods to analyze data, make inferences, and justify conclusions
ISTE NET’s Standards for Literate Students
Creativity and Innovation:
1. b. Create original works as a means of personal or group expression
1. d. Identify trends and forecast possibilities
Communication and Collaboration:
2. a. Interact, collaborate, and publish with peers, experts, or others employing a variety
of digital environments and media.
2. c. Contribute to project teams to produce original works or solve problems
Research and Information Fluency:
3. b. Locate, organize, analyze, evaluate, synthesize, and ethically use information from
variety of sources and media.
3. c. Evaluate and select information sources and digital tools based on the
appropriateness to specific tasks
3. d. Process data and report results
Critical Thinking, Problem Solving, and Decision Making:
4. b. Plan and manage activities to develop a solution or complete a project
4. c. Collect and analyze data to identify solutions and/or make informed decisions
Digital Citizenship:
5. a. Advocate and practice safe, legal, and responsible use of information and technology
5. b. Exhibit a positive attitude toward using technology that supports collaboration,
learning, and productivity
5. c. Demonstrate personal responsibility for lifelong learning
Technology Operations and Concepts:
6. a. Understand and use technology systems
6. b. Select and use applications effectively and productively
6. c. Transfer current knowledge to learning of new technologies
Behavioral Objectives
1. Students will be able to collect data for two different stocks from the stock market for
a period of five days.
2. Students will be able to calculate the statistics (e.g. mean, median, mode, min, max
and range) for each one of their selected stocks.
3. Students will be able to create an accurate spreadsheet and congruent bar line using
the data collected on two stocks of their preference.
4. Students will be able to analyze and compare the data collected on two chosen stocks.
Time Duration: Three periods throughout the course of two weeks.
Motivation/Constructivist Activity
The teacher will start the lesson on stock markets by showing students a Power Point slide with
the word STOCK. She will then proceed to pre-assess students’ prior knowledge about the stock
market by asking the following questions: What are stocks? What do you know about the stock
market? Subsequently, the teacher will elicit the responses of three or four students and record
them under the “K” section of a previously designed K-W-L chart.
Procedure
1. After the motivational activity, the teacher shows students a second Power Point slide
depicting the logos of McDonald’s and Domino’s Pizza. She then asks students to describe
what companies the logos represent and what products each one of the two companies sells.
After eliciting the responses of two or three students, the teacher throws the following
question: Did you know that you could become the owner of a small part of these two big
companies? She asks students to show their hands if they knew about it. Students who did
know about it to show their hands.
2. The teacher proceeds to explain that big companies such as McDonalds and Domino’s Pizza
may sell stock or small parts of their company to the public. When people buy stock in a
company, they become shareholders or stockholders, which means that they own a part of
the company. People can buy stocks in the stock market. The stock market is an everyday
term we use to talk about the place where stocks are sold and bought. At this point, the
teacher shows a third Power Point slide depicting the globe filled with people and different
company logos. She tells the students that the stock market is not one big store or even a
mall. Instead, it is located in different buildings around the world and on the Internet. In
other words, the Stock Market is Global.
3.
Once the teacher explains to the students what the stock market is, she calls them to the rug
and gives students two to three minutes to think about the reason why companies sell stocks
and why people buy them? Then she asks students to turn and share their ideas and thoughts
with a partner. After this, the teacher selects one or two students so they can report to the
whole class the answers their partners gave.
4. The teacher proceeds to read aloud pages 5 through 7 of the book entitled “The Stock
Market” by Donna Jo Fuller. Students are asked to pay close attention to the reading
because it will provide them with the answers to the two questions that were previously
posed.
5. After reading the book, the teacher will ask the following questions: (1) Why do companies
sell stocks? (2) Why do people buy stocks? Two selected students well be call up to the
front to share their answers.
6. The teacher turns students’ attention to the K-W-L chart and proceeds to write down under
the “L” section what students have learned so far about the stock market.
7. The teacher explains to students that people can monitor the price of stocks by looking at the
stock market tables. Stock market tables provide basic information and price history for
stocks. People can find stock market tables in many different places, such as the local
newspaper or a financial publication like the Wall Street Journal. The Internet is another
tool that can be used to look up for information on stocks.
8. The teacher goes to http://www.moneyinstructor.com/wsp/stable.asp on the SMART board
and begins to introduce key vocabulary words that can be found on a stock market table.
She then distributes a vocabulary sheet (see attachment) with definitions so students can
refer back to these terms when retrieving information at home on selected stocks.
9. By displaying the following website http://finance.yahoo.com/lookup on the SMART board,
the teacher demonstrates how to go online to search and obtain information on the stock
values for McDonald’s and Domino’s Pizza, respectively. She explains to students that
when retrieving information on a selected stock through Yahoo Finance, they have to simply
type in the STOCK TICKER. If they do not know the stock ticker, they have to search for
it by looking it up with the company’s name.
10. Once the teacher retrieves the stock reports for McDonald’s and Domino’s Pizza, she asks
students to help her locate the closing price for each stock from the data displayed.
Subsequently, she proceeds to record the two stocks’ values on a chart.
11. Students will be paired up according to their math and technology skills. The teacher will
explain to students that they will be monitoring two stocks of their preference for five days.
Each student is to document at home the closing price of a chosen stock and then share and
combine it with their partner in class (If the student does not have a computer at home, the
teacher will provide opportunities to collect such information in school). After the
explanation, the teacher will distribute to each student the Stock Tracking Worksheet so
students can record their findings. She will also provide students with a list of companies
with their respective stock ticket, and a vocabulary handout.
12. After students collect the required data, the teacher will take the students to the computer lab
and demonstrate step by step how to construct a spreadsheet and a congruent graph to
represent the data using Microsoft Excel. The demonstration will also include calculating
mean, mode, median, min, max, and determining range. Subsequently, the teacher will
proceed to demonstrate and model how to analyze the data and the congruent graph. With
the help of the students, the teacher will write down a short data analysis.
13. Each group of students will create a spreadsheet using Microsoft Excel to represent the data
collected on their chosen stocks. Students will also create a congruent graph and an analysis
for their data.
14. The students will present their stocks’ analysis, spreadsheet and graphs to the rest of the
class. After the sharing time, students’ work will be displayed around the classroom.
15. The teacher will refer to the K-W-L chart to fill it out with the new information students
have learned throughout the Stock Market lesson. Subsequently, she will ask students if they
have any questions they would like to research further about the stock market. Students’
responses will be recorded under the “W” section of the K-W-L chart.
Questions:
I)
Closed-Ended Questions:
1. “What is the stock market?”
i.
Answer: The stock market is a place where people buy and sell pieces of
companies.
2. “What is stock?”
i.
Answer: A stock is a small part of a company.
“What is a stock ticker?”
i.
Answer: A stock ticker is the abbreviation of the name of a company.
4. “Do stock prices change?”
i.
Answer: Yes, prices can rise and fall every day.
3.
II)
Open-Ended Questions:
1. “Why do companies sell stock?”
i.
Answer: Companies sell stocks to raise money for improvements and
expansion.
2. “Why do people buy stock?”
i.
Buying stocks is an investment. People buy stock to make a profit and
build wealth.
3. “How does the stock market work?”
i.
Answer: When you buy stock, you become a shareholder, which means
that you are the owner of a small part of the company. If the price of the
company goes up, you share the profits. If the price of your stock falls
below the price you paid for it, you would lose money.
Graph Questions:
I)
Close-Ended Questions
“What type of graph can best represent the stock prices throughout the week?”
i.
Answer: The line graph is the best to represent the stock prices because it
shows the changes each company is experiencing throughout the week.
2. “Do line graphs need to have a Name?
i.
Answer: Yes, they need to have a name.
1.
II)
Open-Ended Questions
1. “Which one of your chosen stocks is more stable?”Why?
2. “What does the line graph tells you about the two stocks you tracked?
Materials:
1. Copy of : How Economics Works: The Stock Market by Donna Jo Fuller
2. SMART board
3. Markers
4. Chart paper
5. Students with home computers (at least one per group).
6. Students Math notebooks
7. Access to computer lab for graphing purposes
8. Internet
9. Handouts/Worksheets
10. Handouts
Assessment
Students will be assessed on the behavioral objectives through the use of the assessment rubric.
The rubric will measure the students’ ability:
1. To collect data for two different stocks from the stock market for a period of five
days.
2. To compute statistics (e.g. mean, median, mode, min, max and range) for each one of
their selected stocks.
3. To create an accurate spreadsheet and congruent line graph using the data collected
on two stocks of their preference.
4. To analyze and compare the data collected on their two selected stocks.
Rubrics:
Behavioral
Objective (S)
Behavioral
Objective # 1:
To collect data for
two different
stocks from the
stock market for a
period of five
days.
Behavioral
Objective # 2:
To compute
statistics (e.g.
mean, median,
mode, min, max
and range) for
each one of their
selected stocks.
Behavioral
objective # 3:
To create an
accurate
spreadsheet and
congruent graph
using the data
collected on two
stocks of their
preference.
Behavioral
Objective #4:
To analyze and
compare the data
collected on two
chosen stocks.
Target
“3”
Satisfactory
“2”
Unsatisfactory
“1”
Students correctly
choose two
different stocks
and gather daily
the closing cost for
each stock for a
period of five
days.
Students correctly
choose two
different stocks
and gather the
closing cost for
each stock for at
least three days
Students choose
one stocks and/or
gather the opening
cost for each stock
for less than three
days.
Students compute
the mean, median,
mode, min, max,
and range with 0
errors.
Students compute
the mean, median,
mode, min, max,
and range with 1-2
errors.
Students attempted
compute the mean,
median, mode,
min, max, and
range with 3 or
more errors.
Line Graph has a
title, axes are
labeled, all data is
entered and
computations are
100% correct
according to
spreadsheet.
Line graph has a
title, axes are
labeled, and there
is one minor error
in entering data
and/or
computations
according to
spreadsheet.
Line graph is not
correctly entitled,
and/or axes are not
labeled, and there
is more than one
minor error in
entering data
and/or
computations
according to
spreadsheet.
Students provide
100% accurate
analysis based on
data and are able
to compare their
two stocks
accurately.
Students are able
to provide analysis
that is 50%
accurate and are
able to make some
comparisons
between their
stocks.
Students can
provide an analysis
that is less than
50% accurate and
or are able to make
one or two
comparisons
between their
stocks.
Student Rating
Attachments
List of Companies Handout
Name__________________________________________________Date__________________________
Company
Apple Computers, Inc.
AT & T Corporation
Campbell Soup
Coca Cola
Disney Walt Company
Domino’s Pizza
Dow Jones & Company,
Inc.
Ford
Gap, Inc.
General Motors
Corporation
Goodyear Tire and
Rubber
Stock Ticker
AAPL
T
CPB
KO
DIS
DPZ
DOW
Harley Davison
Home Depot
Marvel
McDonald’s
Microsoft
Nike
Pepsi
Pixar
Starbucks Corporation
Toy R Us
Wal-Mart Stores, Inc.
HDI
HD
MVL
MCD
MSFT
NKE
PEP
PIXR
SBUX
TOY
WMT
F
GPS
GM
GT
Stock Tracking Worksheet
Group Members: ___________________________________
____________________________________
Directions: Fill out your stock market value for the day.
Date
Name of Stock
Stock Ticker
Closing Price
Stock Market Vocabulary Handout
Name: _____________________________________________________________________
1. Ticker 2. Company Name
GE
General Electric Co
3. Sales 100s 4. Hi
6567
26.86
5. Low
6. Last 7. Change
24.64
25.73
2.40
1.
Stock ticker symbol
This is the company stock symbol, and it
represents the company's stock. Often, the
stock symbol is similar to the company's name.
2.
Company Name
This is the name of the stock.
3.
Sales 100s
The number of shares that traded the last day
this stock traded. The number is given in
hundreds, so you need to add 2 zeros to the
number to get the actual number of shares
traded.
4.
Hi
The stock's highest price the last day this
stock traded.
5.
Low
The stock's lowest price the last day this stock
traded.
6.
Last
The stock's last traded price. Also sometimes
called closing price.
7.
Change
The amount of change of the stock's closing
price and the prior trading day's closing price (2
trading days ago). A "-" represents a negative
change.
Student Performance-Based Example
Group Members:
________________________________________and________________________________
McDonald’s vs. Domino’s Pizza
Comparison of McDonald’s and Domino’s Pizza Closing Prices
Date
MCD
DPZ
20/02/2013
21/02/2013
22/02/2013
25/02/2013
26/02/2013
$93,91
$94,14
$95,18
$96,31
$96,22
$45,52
$44,59
$46,08
$45,22
$46,00
Elementary Statistics
Date
MCD
DPZ
Mean
$95,15
$45,48
Median
Mode
Range
Maximum
Minimum
$95,18
$45,52
#N/A
#N/A
$2,31
$96,31
$93,91
Graph Line
$0,48
$46,08
$44,59
Stock Price
MCD vs. DPZ
$ 110.00
$ 100.00
$ 90.00
$ 80.00
$ 70.00
$ 60.00
$ 50.00
$ 40.00
$ 30.00
$ 20.00
$ 10.00
$ 0.00
MCD
DPZ
Dates
Analysis
The spreadsheet charts and graphs represent the stock values of McDonald’s Corp. (MCD)
and Domino’s Pizza Inc. (DPZ), two popular fast food restaurants that most people enjoy.
The spreadsheet charts and graphs show the opening and closing prices on each day
throughout a week.
After an in depth analysis of both stocks, we observed that from February 20th to
February 26th, MCD had a close and slight increase on the second and third day. However,
there was a decrease on the first, fourth, and fifth day. Similar to MCD, DPZ also had an
increase at the closing price two days of the week, on the third and fifth day. We observed a
steady price on day one, but on the second and fourth day, the stock dropped.
The stock for DPZ was originally tracked on the 20th at a price of $45.52 and closed
on the 26th at a price of $46.00. The mean for the opening prices of DPZ was $45.58, while
the mean for the closing prices were $45.48. Contrary, the mean for the opening prices of
MCD was $95.43 and the mean for the closing prices of MCD was $95.15. The range of the
opening prices of MCD was $ 2.31, while DPZ had a range of $0.48. There was no mode for
these numbers because no numbers are repeated throughout the week.
Analysis