This manual is intended for teachers using the Project Success Enrichment (PSE) program to teach language arts to gifted and typical elementary school students. Following an introduction that outlines the purposes and objectives set forth in the Project Success Enrichment: Language Arts Introductory Unit, this component focuses on the short story unit, the purpose of which is to elaborate on the basic skills presented in the Introductory Language Arts Unit. Academic objectives and ability development objectives such as self-management, social skills, and thinking skills are discussed. The main focus of the unit is to present activities that will motivate students to develop advanced writing skills in both the fiction and nonfiction areas and to extend and elaborate on basic skills, including vocabulary, sentence structure, imagery, theme, and format. Short story activities are designed to teach students the elements of a short story (setting, characterization, plot, and theme) so they may develop well-written compositions. Examples are provided to help students in developing different kinds of writing formats, including dialogue, narrative biography, autobiography, opinion, fantasy, and historical and scientific fiction. A definition sheet of vocabulary terms for the elements of literature and examples of students' short stories are provided. Blank student worksheets and evaluation forms for different activities are also included. (CR)