What is a coupon?

• A. A receipt
• B. A loan
• C. A code or offer that gives a discount on a purchase
• D. A fee

Answer: (C)

A coupon is a code or offer that gives a discount on a purchase. Stores use coupons to help shoppers save money, and you can find them on paper, in newspapers, on product packaging, or online and in apps. When you use a coupon, you apply the discount at checkout so the total you pay is lowered. Coupons can be a percentage off, a fixed dollar amount off, or a free item with a qualifying purchase. There are usually rules, like an expiration date, a minimum amount you must spend, or restrictions on what items the coupon can be used for, and sometimes you can’t combine it with other deals.

Coupons aren’t receipts, which just show what you already bought. They aren’t loans, which are money you borrow and must pay back. They aren’t fees, which are extra charges for services. Understanding coupons helps you save money and make the most of your shopping budget.