Needed (sorry no picture):
Start by cutting stars out of felt. You'll want an even number. If you cut a star out of cardboard you can use it as a template and then all of your stars will be a uniform size. I did a Google search & found this that I used as my template.
Use the yarn and needle to sew two stars together, but leave one open side.
Stuff batting into the star. You don't want to make it too full, but you want to give it a 3-D look.
Sew the remaining side closed and use the yarn to create a loop so you can hang your ornament on the tree.
This would also be great as a banner. Just use the yarn to string several of them together. Thanks Kim for the great idea!