Both of the above sentences show the correct use of an apostrophe.  An apostrophe tells the reader that the stereo belongs to Carol and that the clothes belong to Mom.

Contractions are used often in conversation and writing.  In all contractions, the apostrophe takes the place of a missing letter or letters.  Look at the following list of words in their extended form, and used as contractions:

Review the following paragraph from a campaign speech and see how many contractions you can use in it:

• It is time that the people of this state look critically at each candidate.  I am the only one who is truly qualified to be your governor.  If elected, I will lower taxes, end unemployment, and encourage industry to build their factories in our state.  My opponent cannot make these claims.  You are informed voters;  you will make the difference in this election.

If you have found all of the contractions you should have a list similar to this:

• It's, I'm, who's, I'll, can't, You're and you'll.

Quotation Marks

When the writer wishes to show exactly what someone is saying, quotation marks are used.  Quotation marks enclose someone's exact words and tell the reader that the writer is quoting that person.

• "Where are you going?"  asked the mother.
• "I will never raise taxes,"  promised the candidate.

There are two main rules that must be followed when using quotation marks.  These rules apply to every situation when using quotation marks.  The first rule is that a quotation usually begins with a capital letter in the same manner as the beginning of a sentence.  We speak in full sentences and write in full sentences so quotations should be as we speak and write:  in full sentences.  The second rule goes along with the first rule.  Since we speak and write in full sentences, a sentence begins with a capital letter and needs to end with some kind of punctuation mark at the end of the quotation.  This punctuation should always be placed before the last set of quotes.

When writing a question in quotation marks, always put a question mark before the last set of quotation marks as in the following example:

• "What do you want to know?" she asked.
• She asked, "Why do you want to know?"

When quoting a statement, the writer needs to put a period or a comma before the last set of quotes.

• He said, "Kathy, this is important."

When writing about people's statements but not using their exact words, do not use quotation marks.  The writer can describe what the person is saying and how they're saying it by using full sentences and leaving the information out of quotes.  For example:

• The little boy asked his mother where they were going.  
• The doctor said he needed to do more testing to find out what is wrong.

Be careful when punctuating that the meaning of the sentence isn't changed.  Changing punctuation can change the entire meaning of a sentence.  For example, have a look at the following sentences and see how the different punctuation changes the meaning as to who is ignorant:

• The student says the teacher is ignorant.
• The student says, "The teacher is ignorant."
• "The student," says the teacher, "is ignorant."