Always make a good application of the story. That's why you told it in the first place!
Give new twists to old stories. Like the example I gave of how I told the ascension of Jesus story, etc.
Give your story a title that catches the kid's attention. You have about 15 seconds to either catch their attention, or to lose it! So, make that most of those 15 seconds!
Things throughout the story to involve them. Like asking questions, have them make sounds, motions, etc.
Give away the plot of the story in the title. Like if you're going to tell the story of David and Goliath with a new twist, don't name it the boy that killed the giant. If you do then you've just given away the plot of the story!
Use sterotypes. That's assuming a certain type of person is or acts a certain way. Let's say that you were to portray all carsalesman as underhanded a cheat, and a shyster, and then you found out that one of the kids you had there that day had a father that was one!
Portray ethnic figures as a certain way. Again, what if you portrayed jews as cheap, and would do anything for a dollar, and then later you found out that one of the kids that you had there that day had a grandparent that was one!
Once you've gotten your exercises for this module back, then and only then, can you move on to Puppetry.