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Cambridge IGCSE Business Studies          27: Exam technique





              Tips for answering these questions

              ■  Part (a) is a definition question to test your knowledge. Always try to give a clear explanation of the term if you can.
              ■  Part (b) is a calculation, so include the formula you use, and show all your workings just in case you make any mistakes. Be
                 careful to select the right numbers to work out total cost.
              ■  Part (c) makes a direct reference to Omar’s business, not any business. This means you need to link the measure to Omar’s
                 business, so that it is applied. Use the information in the stem to help you.
              ■  Part (d) like (c) requires you to apply your answer to Call4Cabs. Your answer will have to be more detailed though as there
                 are 6 marks available for this question. Most methods could be possible as knowledge but you will have to explain why
                 they are suitable to Omar to promote this service.
              ■  For Part (e) you have to make a decision. You can pick either method, as long as you can give reasons for that choice.

                 Don’t be tempted to suggest different methods, because the wording of this question does not allow you to. Remember to
                 consider both options in your answer.



                                             If you answered these questions yourself what points would you make? Why not
                                             write down what you think your answers would be and get someone else to mark
                                             them for you.
                                               One way to improve how to answer questions is ask someone else to look at
                                             any sample papers you have answered. This can be helpful, as they can check

                                             that what you have written is easy to understand and clearly written. If you read
                                             someone else’s answers, it’s also a good opportunity to learn different approaches to

                                             answering questions.
    348                                        Asking your teacher to show you mark schemes (and help you interpret them)
                                             can also be very helpful. Not only do they include many of the possible answers,
                                             they will usually include examples of how you can develop your explanations.



              ACTIVITY 27.1

              Read the following sample answers (written by the authors). How many marks would you give each of the following
              responses to the questions above? Extracts of the mark scheme are included to help you decide.
                 Afterwards, compare the marks you would give with the comments provided.




                                             a  What is meant by fi xed costs?                                    [2]

                                                Answer:  Costs that do not vary with the number of items sold or
                                                        produced in the short term




              Sample answers:

              i   Costs which are fixed.

              ii  Costs which don’t change with the level of output.
              iii  Cost that stay the same.
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