9708 · May/June 2016 · examinable unit

9708/42 Question 5

Cambridge Economics · 25 marks · syllabus 7.8. This page is the question object — what is being tested — not the mark scheme.

Stem preview

The traditional theory of the firm assumes a single objective for the firm, namely the maximisation of profit. (a) Explain whether a firm with this objective…

Full stem stays in the official paper. We show a short excerpt so you can identify the item, then attempt your own answer.

What the examiner is asking

This 9708/42 item (25 marks, May/June 2016) is testing whether you can apply syllabus 7.8 under timed exam conditions — not whether you can recall a textbook paragraph. Read the command word, identify the quantity or argument required, and plan the mark-earning steps before you write.

Prerequisite concepts

Core definitions and relationships for syllabus 7.8
Command-word literacy (state / describe / explain / calculate / deduce)
Showing method lines examiners can credit even if the final answer slips

Open prerequisite lesson

Similar practice

After you attempt this question, mark it, then take another 9708 past-paper item on the same topic so the weakness becomes a habit fix — not a one-off score.

Try it yourself — mark my answer How marks are awarded (assessment page)