Year 12

AQA A level Business Exam Techniques Notes

Business Paper 2 — Exam Technique

— AS & A Level Business (9609/22) · Feb/Mar 2025 past paper walkthrough —
★ Exam Tip: P2 is the harder paper. Board: for an A grade P1 needs about 35, but P2 needs about 44–46. Case-study (situation) based — use the case in every answer.

1. About Paper 2

  • Paper 2 = Business Concepts 2 · 1 h 30 min · 60 marks · answer all questions in the answer booklet
  • Marks per part are printed in brackets [ ] — use them to decide how much to write
  • Level of difficulty: P2 > P1 (teacher's arrow ↑), P2 is the situation/case paper
marks P1P2 ≈ 35≈ 44–46 harder ↑
marks needed for an A — P2 is higher
P2 = 90 min AB 45 mins 45 mins
time management: A and B get 45 min each
Remember: each case study is worth 30 marks (1+3+3+3+8+12), so 45 min ÷ 30 ≈ 1.5 min per mark (my working).

Time management for P2: 90 min → Section A 45 min + Section B 45 min. Don't spend extra on one case at the expense of the other.

2. Command Words & How Marks Are Split

The command word (first word of the question: Identify, Explain, Calculate, Analyse, Evaluate) tells you what to do. The teacher marked the mark split next to each question:

Command word Marks Mark split (board)
Identify 1 one point only, e.g. number of employees / output
Explain (term) 3 2K + 1 app (primary sector)
Explain (limitation) 3 1K + 2 app
Calculate 3 2 → working, 1 → answer
Analyse (2 benefits) 8 2K + 2 app + 4 an (4 marks per benefit)
Evaluate 12 not broken down on the board
Key: K = knowledge (define / state the idea) | app = application (use the case: name Frank, RCR, the figures) | an = analysis (develop the chain of reasoning)

3. Reading the Case — Frank's Fruits (Q1)

Teacher's method: highlight each clue and tag it with the concept it links to.

  • "grows fruit" → primary sector; "sells his fruit at a market" → tertiary
  • "sole trader" → single-owner business
  • "redundancy money" → how he financed the business (source of finance)
  • Objective: increase profit by 10% → measurable; by end of 2026 → time-specific (SMART objective)
  • Also a target profitability of 25% by the same date; uses data from break-even analysis
  • Two competitors: national supermarket (local stores) and a shop in the city selling fruit
  • USP: fruit is fresher — sold a few hours after picking; competitors' fruit travels hundreds of km
  • Pricing: uses competitive pricing vs thinking of price skimming
Table 1.1 — Forecast data, FF July 2025Sales = 5650 oranges
Total allocated fixed costs = $1350
Total variable costs = $2825
Selling price per orange = $0.80
Variable cost per orange (board) VC per unit = total VC ÷ sales $2825 ÷ 5650 = $0.50 / orange

4. Q1(a) — Identify & Explain

Q1(a)(i)Identify · 1 mark

Identify one method of measuring the size of a business.

One point is enough — no explanation needed.

Answer: number of employees (or) output

Q1(a)(ii)Explain · 3 marks = 2K + 1 app

Explain the term primary sector.

Board skeleton: define / examples (K) → its output = raw materials → used by the secondary sector.

Application: Frank grows fruit (farming) — a primary-sector activity.

primary (grows fruit) output = raw materials secondary sector
(a)(ii) chain from the board: define → output → R.M → secondary

5. Q1(b)(i) — Break-even Output

Q1(b)(i)Calculate · 3 marks

Using Table 1.1, calculate the number of oranges Frank needs to sell to break even in July 2025.

2 marks → working, 1 mark → answer. Always show every step.

① Break-even outputBreak-even output = Total fixed costContribution per unit
Contribution per unit = SP − VC per unit
② = $13500.80 − 0.50 = 1350 ÷ 0.30 ③ = 4500 oranges
Note: the board shows ② $1350 on top of the line and ③ = 4500 oranges; the denominator 0.80 − 0.50 comes from SP $0.80 and VC $0.50 per orange (the VC-per-orange working in section 3). Check: 4500 × 0.80 = $3600 = 1350 + 4500 × 0.50 ✓.
$oranges revenue fixed cost $1350total cost 4500 3600
extra sketch (not on board): lines cross at 4500 oranges

6. Q1(b)(ii) — Limitation of Break-even

Q1(b)(ii)Explain · 3 marks = 1K + 2 app

Explain one limitation for Frank of using break-even analysis.

Teacher circled "limitation" = K and "for Frank" = application.

Board answer:
K → Break-even assumes there is no unsold inventory / the selling price remains unchanged.
app → Frank is using break-even analysis in which he considers the selling price will remain unchanged, which might lead to an inaccurate calculation of total revenue, as customers may ask for a discount or market competitiveness may lower the price, which will affect Frank's break-even output and total revenue.

7. Q1(c) — Analyse Two Benefits (8 marks)

Q1(c)Analyse · 8 marks

Analyse two benefits to Frank of operating as a sole trader.

8 → 2K + 2 app (Frank) + 4 an. Two benefits → 4 marks per benefit: 1K, 1 app, 2 an.

Paragraph ① — benefit 1 Paragraph ② — benefit 2 K = 1 markapp = 1 markan = 2 marks K = 1 markapp = 1 markan = 2 marks
one paragraph per benefit, each = K | app | an

Developed analysis (teacher's example)

K: sole trader = his own boss app: Frank decides the type of fruit to sell / one day a week an: no conflicts / disagreements → operation continues smoothly an: quick decision → no interference
K → app → an (the "decision" link is what scores analysis marks)

8. Q2 (RCR) — Market Growth

Q2(b)(i)Calculate · 3 marks

Refer to Table 2.1 and other information. Calculate the market growth for car repairs in city B between 2023 and 2024.

Teacher highlighted "Table 2.1 and other information": the 2023 market total $700 000 is in the text, not the table. Answer needs %.

Table 2.1 (2024): market share 17%, RCR's total sales $123 165.

Step 1 — find the 2024 market sizeMarket share = sales of RCRtotal sales of market × 100
17100 = $123 165x x = $12 316 50017 x = $724 500
Step 2 — market growthGrowth % = New − OldOld × 100
724 500 − 700 000700 000 × 100 = 24 500700 000 × 100 = 3.5%
Board discrepancy: the board writes the formula as "Old − New ÷ Old" and ends with 3.38% / 3.4%. The correct order is New − Old, and 24 500 ÷ 700 000 = 3.5% exactly. Use 3.5% in exams.
17% share, $123 165 → market 2024 $724 500 (2024) vs $700 000 (2023) growth = 3.5%
share → market size → growth

9. Questions Left Unworked on the Board

These parts appear in the screenshots but the teacher did not write answers for them:

  • Q1(d) Evaluate whether Frank should introduce price skimming [12]
  • Q2(a)(i) Identify one method of primary market research [1]; (ii) explain the term qualitative data [3]
  • Q2(b)(ii) Explain one reason why RCR's objectives may change over time [3]
  • Q2(c) Analyse two advantages of Kye's democratic management style [8]; Q2(d) Evaluate whether RCR should introduce JIT [12]
✓ Quick Recap — Paper 2
  • P2 = 90 min, 60 marks, harder than P1 (A ≈ 44–46 vs 35)
  • 45 min per case study (A and B); each case = 30 marks
  • Spot the command word; match the mark split: Identify 1 | Explain 3 | Calculate 3 (2 working + 1 answer) | Analyse 8 (2K, 2app, 4an) | Evaluate 12
  • Break-even = total fixed cost ÷ (SP − VC per unit) → 1350 ÷ 0.30 = 4500 oranges
  • Market size = sales ÷ share; growth = (New − Old) ÷ Old × 100 → 3.5%
  • Break-even limitation: assumes constant price / no unsold stock — link to Frank's discounts & competition
  • Sole trader analysis: own boss → Frank decides → no conflict → quick decisions, smooth operation