3 (a) Identify and explain two benefits to CC workers of joining a trade union. Benefit 1: Explanation: Benefit 2: Explanation:

Mark scheme

Marking points from the official mark scheme (Oct/Nov 2015). The mark or mark type is shown in brackets.

1. Knowledge [2 × 1] - award one mark for each relevant benefit
2. Analysis [2 × 1] – award one mark for a relevant explanation for each benefit
3. Application [2 × 2] – award two application marks for each benefit
4. Award one mark for each relevant benefit (maximum of two), such as:
5. • Gives strength in numbers/collective bargaining so more likely to achieve demands
6. • Provides services such as insurance
7. • Improved pay
8. • Improved working conditions/health and safety
9. • Representation in grievances
10. • Represents the views of the workers
11. • Advice can be given if the worker has problems
12. • Legal support if the worker has problems
13. • Access to training/education
14. • Social activities/clubs
15. • Unions membership benefits e.g. discounts
16. Award a maximum of three additional marks for each explanation of the benefits – 2 of which must be applied to this context.
17. Indicative response:
18. Being a member of a trade union gives strength in numbers so workers are more likely to achieve their demands [k] rather than if one worker tries to achieve the demands on their own (an). At the moment CC does not allow a worker to be a member of a trade union (ap). Production workers are only paid low wages and they may want to be members of a trade union in order to gain a pay rise (ap).
19. Possible application marks: paid lower wages than wages paid to workers in similar businesses; part-time workers; use machinery in the factory; in country X; manufactures camping equipment; three factories; 100 skilled workers in each factory; capital intensive method of production; not allowed trade union membership; country Z; camping cooker; public limited company; takeover; equipment listed from Appendix 1.
20. There may be other examples in context which have not been included here.
21. Option 1 - Increase the price of the camping cooker to $60
22. B/E = $20000/($60–$20) (L1) = 500 (L2)
23. Revenue increases to $120000 – difference of $40000 (L1)
24. B/E at a lower output - increase profit – But – will sales be maintained with higher price?
25. Option 2 - Decrease the variable cost of the camping cooker to $10
26. B/E = $20000/($40–$10) (L1) = 667 (accept 666) (L2)
27. Variable cost decreases to $20000 – difference of $20000 (L1)
28. B/E at a lower output – takes longer to gain higher profit – But – cheaper materials may reduce quality
29. Knowledge/Analysis/Evaluation – award up to 10 marks using the levels-based mark scheme below.
30. Level 3: Correct break-even calculations of output for both options + 9-10 marks for well justified recommendation as to the best option to choose. 7-8 marks for some limited judgement shown in recommendation as to the best option to choose.
31. Level 2: 4-6 marks Break-even level of output correctly calculated. Comments on what happens to the break-even output/profitability. Recommendation but no correct break-even output calculated.
32. Level 1: 1-3 marks States about the options and what will happen to the break-even output/profitability.
33. Level 1: 1 mark for each L1 statement – increased price may lead to increased profit. (max of 3 marks)
34. Level 2: one L2 explanation can gain 4 marks and a further mark can be awarded for each additional L2 explanation. (max 6 marks) Break-even output of option 1 is 500. (L2)
35. Level 3: For L3 to be awarded there needs to be both break-even outputs correctly calculated and then a recommendation which justifies which is the best option to choose.
36. Award up to 2 marks for application one mark for each correct line on the graphs (label not required)