Bloom’s Taxonomy Of the Cognitive Domain (Revised) “The Levels of learning” Remember Understand

1. Bloom’s Taxonomy Of the Cognitive Domain (Revised) “The Levels of learning” Remember Understand Apply Analyze Evaluate Create

2. Bloom’s Taxonomy Of the Cognitive Domain (Revised) • Remember: Recalls or recognizes information: facts, definitions, generalizations • Examples: Recite a policy. Quote prices from memory to a customer. Knows the safety rules. • Key Words: defines, describes, identifies, knows, labels, lists, matches, names, outlines, recalls, recognizes, reproduces, selects, states. • Example Question: True or False; The after-tax cost of debt is higher than the before-tax cost of debt. • Understand: • -Understand the meaning, translation, interpolation, and interpretation of concepts, instructions and problems. • -Constructs meaning by interpretation, classification, comparing, explaining & summarizing • Examples: Rewrites the principles of test writing. Explain in one’s own words the steps for performing a complex task. Translates an equation into a computer spreadsheet. • Key Words: comprehends, converts, defends, distinguishes, estimates, explains, extends, generalizes, gives examples, infers, interprets, paraphrases, predicts, rewrites, summarizes, translates. • Example Question: How do Production Opportunities affect the cost of money? • Comment: There’s a big difference between Remembering a process and Understanding a process

3. Bloom’s Taxonomy Of the Cognitive Domain (Revised) • Apply: • -Use a concept in a new situation or unprompted use of an abstraction. Applies what was learned in the classroom into novel situations in the work place. • -Use methods, concepts, principles & theories in new situations • -Solve realistic problems that require the identification of issues and use of appropriate generalizations & skills • Examples: Use a manual to calculate an employee’s vacation time. Apply statistics to evaluate the reliability of a process • Key Words: applies, changes, computes, constructs, demonstrates, discovers, manipulates, modifies, operates, predicts, prepares, produces, relates, shows, solves, uses. • Example Question: You have accumulated $4,400 in credit card debt. Your credit card rate is 8.5% APR and you are charged interest every month on the unpaid balance on your account. How much interest must you pay every month, assuming the balance remains unchanged?

4. Bloom’s Taxonomy Of the Cognitive Domain (Revised) • Analyze: • -Separates material or concepts into component parts so that its organizational structure may be understood. Distinguishes between facts and inferences.  • -Identifies how parts relate to one another or to a larger structure or purpose • -Considers available evidence to reach a conclusion, inference or generalization • Examples: Troubleshoot a piece of equipment by using logical deduction. Recognize logical fallacies in reasoning. Gathers information from a department and selects the required tasks for training. • Key Words: analyzes, breaks down, compares, contrasts, diagrams, deconstructs, differentiates, discriminates, distinguishes, identifies, illustrates, infers, outlines, relates, selects, separates. • Example Question: True or False and justify your answer: A firm’s WACC is used to calculate project NPV. • True; Justification: • -It is assumed that the firm’s ROR is at least equal to its WACC • -It is assumed that project cash flows are reinvested in the firm and will thus grow at a rate at least equal to WACC • -Thus WACC is used as the discount rate to reverse the effects of TVM to find the PV of project cash flows

5. Bloom’s Taxonomy Of the Cognitive Domain (Revised) • Evaluate: • -Make judgments about the value of ideas or materials. • -Judges the value of something by application of criteria, processes or standards • Examples: Select the most effective solution. Hire the most qualified candidate. Explain and justify a new budget. • Key Words: appraises, compares, concludes, contrasts, criticizes, critiques, defends, describes, discriminates, evaluates, explains, interprets, justifies, relates, summarizes, supports. • Example Question: Two bonds (Bond A and Bond B, from different firms with the same bond rating) are offered by two different brokers. The bond parameters are specified below. Which bond is more fairly priced?

6. Bloom’s Taxonomy Of the Cognitive Domain (Revised) • Create: • -Builds a structure or pattern from diverse elements. • -Put parts together to form a whole, with emphasis on creating a new meaning or structure. • -Solve a problem that requires new creative thinking • Examples: Write a company operations or process manual. Design a machine to perform a specific task. Integrates training from several sources to solve a problem. Revises and process to improve the outcome. • Key Words: categorizes, combines, compiles, composes, creates, devises, designs, explains, generates, modifies, organizes, plans, rearranges, reconstructs, relates, reorganizes, revises, rewrites, summarizes, tells, writes. • Example Question: Morgana Mounds, manager of Morgana's Holistic Health Spa & Emporium, wants to allow her customers to buy on credit, giving customers 3 months in which to pay. However, Morgana will have to borrow from her bank to establish an account to cover the cost of credit sales. The bank will charge 5.340% interest, compounded monthly. Morgana wants to quote a simple interest rate to her credit customers (who are expected to pay on time at the end of 3 months) that will earn her an additional 1.5% annual return above the cost of this new debt. Morgana has estimated that approximately 10% of her credit customers will never pay any part of their bills. What simple annual rate should she quote to her credit customers?

7. Metacognition: Knowing what you do and do not know • -Metacognition refers to a level of thinking that involves active control over the process of thinking that is used in learning situations. Planning the way to approach a learning task, monitoring comprehension, and evaluating the progress towards the completion of a task: these are skills that are metacognitive in their nature.