Final answer:
A function that passes the address of a variable as a parameter is called pass by reference, allowing the function to make changes to the argument using the dereference operator.
Step-by-step explanation:
A function that passes the address of a variable as a parameter is called pass by reference. This allows the function to make changes to the argument through the dereference operator. In C++, for example, you can pass a pointer to a variable instead of the actual variable itself. This way, any changes made to the variable inside the function will affect the original variable.