3.0.2.G1 Penny Power Active Learning Tool

3.0.2.G1 © Take Charge Today – August 2013– Penny Power – Slide 2 Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences Take Charge America Institute at the University of Arizona Congratulations! You have two job offers! Each job has a different pay option You will work five days a week, for four full weeks Make the best financial choice based on the following situations

3.0.2.G1 © Take Charge Today – August 2013– Penny Power – Slide 3 Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences Take Charge America Institute at the University of Arizona The Possibilities Which option will you choose? Option 1: For the first twenty days of work, you will be paid $200 a day Option 2: The pay will be 1 penny for the first day. Each day the pay will double. So, it will be 2 pennies the second day, 4 the third, and so on

3.0.2.G1 © Take Charge Today – August 2013– Penny Power – Slide 4 Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences Take Charge America Institute at the University of Arizona Option 1 - $200 per day How much would you be paid if you chose option 1? 20 days $200$4,000

3.0.2.G1 © Take Charge Today – August 2013– Penny Power – Slide 5 Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences Take Charge America Institute at the University of Arizona Option 2 - A Penny Doubled Daily Day 1$ 0.01 Day 2$0.02 Day 3$0.04 Day 4$0.08 Day 5$0.16 Day 6$0.32 Day 7$0.64 Day 8$1.28 Day 9$2.56 Day 10$5.12 Day 11$10.24 Day 12$20.48 Day 13$40.96 Day 14$81.92 Day 15$ Day 16$ Day 17$ Day 18$ Day 19$ Day 20$ How much would you be paid if you chose option 2?

3.0.2.G1 © Take Charge Today – August 2013– Penny Power – Slide 6 Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences Take Charge America Institute at the University of Arizona Which would you prefer? Option 1: $4, Option 2: $5, OR Powerful Penny!

3.0.2.G1 © Take Charge Today – August 2013– Penny Power – Slide 7 Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences Take Charge America Institute at the University of Arizona If you won the lottery… Which option would you choose? Option 1: $1,000,000 today Option 2: A penny doubled every day for thirty days Results...

3.0.2.G1 © Take Charge Today – August 2013– Penny Power – Slide 8 Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences Take Charge America Institute at the University of Arizona A Million or a Penny? Day 21$10,485.76Day 26$335, Day 22$20,971.52Day 27$671, Day 23$41,943.04Day 28$1,342, Day 24$83,886.08Day 29$2,684, Day 25$167,772.16Day 30$5,368, If you choose the penny, you would have earned $5,368,709.12!