What is an acronym?

An acronym specifically refers to a type of abbreviation that is created by taking the initial letters of a series of words and combining them to form a new word. For instance, the acronym "NASA" is derived from the National Aeronautics and Space Administration. Acronyms are commonly used in both everyday language and technical fields to simplify communication and make it more efficient.

The other options do not accurately define what an acronym is. A type of contract does not relate to the concept of acronyms, as contracts involve legal agreements rather than word formation. A form of communication is a broad term that encompasses various methods of expressing information, which does not specifically refer to the creation of new words from initials. Lastly, a synonym is simply a different word that has the same or similar meaning as another word; it is unrelated to the process of forming acronyms.