The Chinese word **退款 (tuìkuǎn)** is a compound word formed by combining two meaningful characters: **退 (tuì)**, which means "to return" or "to retreat," and **款 (kuǎn)**, which means "funds" or "money." It is constructed using a standard verb-object grammatical relationship, where the first character denotes the action (**退** – to return) and the second character denotes the object of that action (**款** – the money). Therefore, the combined meaning is literally "return money," accurately describing the action of giving a refund. This type of word formation is highly logical and common in Chinese, creating clear and intuitive vocabulary from existing semantic units.