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Introduction
The first step to interpreting a finance essay question, or any essay question for that matter, is to make sure you understand the question itself. While that seems to be self-evident, it is a task that is often overlooked. For example, a student examining the question posed for this paper could easily begin to elaborate upon how to write an excellent finance essay. Such an effort would be helpful but would miss the point of the exercise. Step number one therefore must always be to READ THE QUESTION CAREFULLY.
Key terms
A thorough examination of the question will allow for the discovery of the key terms that will direct the writer to proceed with confidence. The words used in the question will indicate the direction as to how to complete the answer. It is critical to not only recognise the key terms or words in the question but also how they provide the clues to the writer as to the required format of the paper.
The following then is the guide to following in interpreting a finance essay question:
A) Examine (similar words include analyze, break down, dissect, discuss, how and why, study)
The above words require the writer to delve deeply into the heart of the question, to get down to the core of the topic. The response must do more than “scratch the surface” and instead search for the questions behind the question. There may be some hidden premise and the task would involve discovering it and whether or not it holds up to closer scrutiny. The question may also be asking to examine all the parts of the whole and how they relate to one another. Did one part create or cause a reaction to the other or do they exist independently? Some questions require looking for questions behind the question, and answering them accordingly.
B) Contrast (similar words include compare, consider, equate, liken, reveal)
The writer must take the examination one step further and discuss the relationship between two or more points of interest. The paper may have to be organised to elaborate upon the pros and cons or similarities and differences in greater detail. It should be discovered if the points are interchangeable in any manner as well as their purported usefulness in providing a solution to the question posed.
C) Assess (similar words include appraise, evaluate, measure, value)
These words are asking for the writer’s personal opinion or evaluation which would expand upon an analysis such as indicated in (a) above. The analysis should not be taken lightly as a proper judgment could only be given after first laying a solid foundation.
D) Debate (similar words include, agree, argue, contend, disagree, indicate, lay out, reason, take issue)
The merits of two differing points of view require a discussion. This question is similar to (c) above as it requires defending the writer’s judgment on an issue. The main difference though is a discussion as to another argument must also be undertaken.