Story Wheel is a great free app. You spin a wheel and a picture comes up that the students can record on and save. You can spin up to 12 different pictures to continue your story or stop any time in between. You can add more than one student and take turns spinning and recording. We used 2 ipads and recorded some short stories in partners for the class to listen too. It was an encouragement to me when for inside recess the kids asked if they could record another story. Kids always love to hear their own voices. This is definitely a great app to get ideas flowing for writiing stories. There are other story wheel categories you can purchase for 99¢.
Since our school has older ipods and ipads, the story wheel app did not work on our touches. (We do not have the ones with the cameras.) It did work on our older ipads. If you have an older ipad you just need to purchase an external microphone. Our school purchased these little mircophones for recording. They were a great price from amazon (around $1.00 each) They work really well for any recording we need to do on the older ipods and ipads.