Question

what does it mean if a credit card has a cash - back reward program?
a. it allows you to borrow cash
b. it reduces your cash balance
c. it refunds a percentage of purchases
d. it requires cash payments only

Explanation:

A cash - back reward program on a credit card means that when you make purchases using the card, a certain percentage of the amount you spend is refunded to you. Option a is about borrowing cash (which is a cash - advance feature, not cash - back). Option b is incorrect as it should increase (in the form of a refund) rather than reduce the effective cash - related aspect (in terms of rewards). Option d is wrong as credit cards are for non - cash (credit - based) payments in general, and cash - back is about rewards on purchases, not payment requirements.

Answer:

C. It refunds a percentage of purchases