First, I took Will outside and using the knowledge that the sun rises in the East, we figured out which was is North.
Then we made a hanging compass and compared it to a compass. It worked! YAY! (I like it so much when an experiment actually works!) The hanging needle is pointing in the N/S direction! YAY! :)
(I included the black piece of paper at the bottom of the cup so the needle could be seen easier in the picture.)