This paper examines children's preferences and understanding of stories and story elements by analyzing an extensive collection of art, writing, and teacher observations of one child, Virginia. The paper traces the progession of Virginia's understanding of character, setting, action/plot, and preference for fairy tale structures as evidenced in both her drawings and written work, which span the ages 4 years and 6 months to 13 years and 3 months. The paper also suggests ways in which teachers, parents, and other educators can foster children's understanding of the elements of a story. (Six figures of Virginia's drawings and writing samples are included.) (KEH)