Question

How are the meanings of compensate and replace related?​

Answer 1

Compensation is a form of replacement

Step-by-step explanation:

Their respective definitions are:

Compensate - give (someone) something, typically money, in recognition of loss, suffering, or injury incurred; recompense

Replace - take the place of

While "replae" is a far more general definition, this example shows their relation:

I hit someone's car in a parking lot. In order to keep them from taking it to the police, I compensate for the damage with $200.

Instead of further consequences, I offered money to replace the damage I caused.