It depends on what kind of appliqué it is. If they are asking for you to cut out a pattern from card stock ( recipe card or similar) it sounds like needle turn applique. After cutting out a pattern from card stock ( make sure if the piece needs reversing you do that with your pattern) place it on the wrong side of the fabric and draw around it. Cut out 1/4 inch from the line with fabric scissors.
There are many good tutorials on YouTube for needle turn applique for the next steps.