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CMA Foundation · Fundamentals of Business Laws and Business Communication

Writing and Drafting for Business Audiences: formula sheet

Full chapter guide

Key formulas

Parts of a business letter (in order)
Letterhead → Reference and Date → Inside address → Salutation → Subject → Body → Complimentary close → Signature → Enclosures
Learn this order. Questions often ask which part comes after or before another.
Salutation and close pairing
Dear Sir/Madam → Yours faithfully; Dear Mr Sharma → Yours sincerely
Faithfully goes with a general salutation. Sincerely goes with a named person. Many courses treat this as the standard pairing.
Layout styles
Full block: all lines at left margin; Modified block: date, close and signature at right; Indented: paragraph first lines indented
Full block is the simplest and most commonly used style.
Purpose of main letter types
Enquiry = asks information; Order = places order; Complaint = reports fault; Sales = persuades to buy; Circular = same message to many
Use the purpose to identify the type quickly in MCQs.
Qualities of a good letter
Clarity, Conciseness, Courtesy, Correctness, Completeness
These are often tested as features of effective letters.
Parts of a business email
To/Cc/Bcc + Subject + Salutation + Body + Complimentary close + Signature (+ Attachment)
Know the order and the purpose of each part.
Good subject line
Short + specific + action or topic clear
Example: "Invoice 214 payment due 30 June" is better than "Hello" or "Urgent".
Cc vs Bcc
Cc = visible copy; Bcc = hidden copy
Receivers in Cc can see each other. Bcc addresses are not shown to others.
Tone rule
Formal email = polite, full sentences, no slang, no emoticons
Informal email is allowed only with close, known readers.
Netiquette basics
Be clear, be brief, be courteous, proofread, protect privacy
Avoid ALL CAPS, excess punctuation and unnecessary Reply All.
Contents of a notice
Notice = Name of body + Type of meeting + Date, day, time + Venue + Purpose or business + Issuer's signature + Date of issue
If an option misses date, time or venue, it is an incomplete notice.
Usual order of an agenda
Attendance and apologies → Previous minutes → Matters arising → Main items → Any other business → Date of next meeting
Any other business is taken only with the chair's permission.
Contents of minutes
Minutes = Name of body + Date, time, venue + Attendance + Decisions and resolutions + Action by whom + Closing time + Chair's signature
Record decisions, not every remark.
Style of minutes
Past tense + Third person + Brief + Factual
Never record personal opinions of the minute-taker.
Timing
Notice and agenda: before the meeting; Minutes: after the meeting
Use this to separate the three documents in MCQs.
Formal report structure
Title → Contents → Introduction → Body (findings) → Conclusion → Recommendations → Appendix
Exact parts vary by book, but the order from purpose to findings to advice is constant.
Main classification
Formal / Informal; Routine / Special; Informational / Analytical
Most MCQs test which side of these pairs a described report falls on.
Steps in report preparation
Define purpose → Fix scope → Collect data → Analyse → Outline → Draft → Revise
Planning and data collection come before writing.
Features of a good report
Accurate, clear, concise, objective, complete, timely, well organised
A report should not contain personal bias or irrelevant detail.
Memo format
Organisation name → 'MEMORANDUM' → To / From / Date / Subject (and Ref. no.) → Body → Initials or signature
No salutation and no closing phrase. Subject line is brief and clear. Used for internal communication.
Circular format
Heading → Reference no. and Date → Subject → Body → Name, designation and signature of issuer
Addressed to a group, not one person. The same text goes to everyone.
Press release format
Headline → Dateline → Lead (5 Ws and How) → Body details → Quote → About the organisation → Media contact
Written in the third person. Most important information first (inverted pyramid).
Memo vs circular
Memo = internal, one person or small group, short. Circular = many recipients, inside or outside the firm, general.
Both are formal and written. The difference is mainly audience and spread.
Audience rule
Staff only → memo. Large group → circular. Public through media → press release.
Use this as the first check in any MCQ.
The 7 Cs
Clear, Concise, Concrete, Correct, Complete, Courteous, Considerate
Check naming in your study material; the ideas stay the same.
You-attitude
Focus on the reader's benefit; use "you/your"; avoid blame
Example: "You will receive your refund in 5 days."
I-attitude
Focus on the writer; overuse of "I/we"
Fine when the writer is the real subject, but weak for persuading or pleasing the reader.
Positive tone
Say what can be done, not what cannot
"We can deliver by Friday" beats "We cannot deliver before Friday."
Conciseness
Cut wordy phrases; avoid repetition; prefer active voice
"Due to the fact that" becomes "because".

Quick revision

  • The 7 Cs are clarity, conciseness, concreteness, correctness, consideration, courtesy and completeness.
  • A business letter usually has a heading, date, inside address, salutation, body, complimentary close and signature.
  • A subject line in an email should be short and specific so the reader knows the purpose at once.
  • Email etiquette includes a clear subject, polite tone, proofreading and careful use of Reply All.
  • A memo is mainly for communication within an organisation.
  • A circular is sent to many people at once to give the same information or instruction.
  • A press release is written for the media to announce news about the organisation.
  • A notice of a meeting tells members of the time, date, place and purpose.
  • An agenda lists the items to be discussed at the meeting.
  • Minutes are the official written record of what was discussed and decided.
  • A report presents facts, findings and often recommendations on a specific subject.
  • Tone should suit the reader: formal for official documents, courteous in all of them.

Common mistakes

  • Confusing an enquiry letter with an order letter. Fix: An enquiry only asks for details such as price and terms and creates no obligation. An order letter asks for goods to be supplied and, once accepted, forms a contract.
  • Pairing 'Dear Sir' with 'Yours sincerely'. Fix: Use Yours faithfully after Dear Sir/Madam and Yours sincerely after a named salutation.
  • Treating Cc and Bcc as the same. Fix: Remember: Cc is visible to all receivers. Bcc is hidden from other receivers.
  • Thinking a subject line can be left blank or very general. Fix: A subject line should tell the topic in a few words. Readers decide from it whether to open the mail.
  • Confusing agenda with minutes. Fix: Agenda is written before and lists what will be discussed. Minutes are written after and state what was decided.
  • Thinking minutes record every word spoken. Fix: Minutes are a brief summary of discussion and a clear record of decisions.
  • Treating routine and special reports as the same as formal and informal. Fix: Routine/special is about how often; formal/informal is about structure and style. A report can be routine and informal.
  • Placing recommendations before conclusions. Fix: Conclusions come from findings first; recommendations follow from conclusions.
  • Adding 'Dear Sir' and 'Yours faithfully' to a memo. Fix: Remember that a memo has To, From, Date and Subject instead, and ends without a closing phrase.
  • Saying a circular is only for people outside the organisation. Fix: A circular can go to employees, members, dealers or customers. What matters is that many people receive the same message.

Exam tips

  • Expect scenario questions that describe a situation and ask for the letter type. Spot the purpose verb first.
  • Learn the order of parts and the salutation and close pairing, as these are frequent direct questions.
  • Be ready to separate enquiry, order and complaint letters, as options are often built to look alike.
  • For layout questions, check where the date, close and paragraphs begin on the page.
  • There is no negative marking, so always attempt every question after eliminating options.
  • Learn the parts of an email in order. Questions often ask which part does what.
  • For 'which is NOT' questions, look for the rude, vague or privacy-breaking option.
  • Memorise Cc versus Bcc in one line. It is a frequent question.