Which term refers to money paid by customers in return for providing services?

• A. Unemployment insurance
• B. Team
• C. Tip (compensation)
• D. Time management

Answer: (C)

Tipping, or gratuity, is money customers give in return for the service they receive. In hospitality, this extra payment goes directly to front-line staff like servers or bartenders as a reward for good service, and it usually comes on top of their regular wages. It’s voluntary and tied to the customer’s impression of the service, making it distinct from wages or salaries, which are fixed compensation from the employer. This concept contrasts with unemployment insurance (a government program), a team (a group of people working together), and time management (how tasks are organized). So the term described is tip (compensation).