Question

Starbucks allows customers to pay with their mobile devices. Customers create an account with Starbucks as part of the retailer's loyalty program, and transfer money to a pre-paid account. During check out, users activate the Starbucks app, which creates a ___________ that can be scanned at check out.

A: Seven digit numerical code
B: Bar code or QR code
C: Credit voucher
D: Password

Answer 1

When Starbucks app users pay with their mobile devices, a Bar code or QR code is generated for the payment during checkout. This digital method is part of a shift away from physical money to electronic forms like debit and credit cards.

Step-by-step explanation:

The answer to the student's question about what is created by the Starbucks app during checkout for payment is B: Bar code or QR code. This allows Starbucks customers participating in their loyalty program to transfer money to a pre-paid account and use their mobile device to pay for their purchases. The bar code or QR code that is generated can be scanned at the checkout to deduct the payment from the pre-paid balance. This falls under the broader category of 'plastic money' and forms of electronic payments that include debit cards, credit cards, and smart cards. As opposed to cash transactions, these forms of payment transfer value digitally and represent the shift from tangible money to digital solutions in our financial ecosystem.