An enzyme is a protein that acts as a catalyst in biochemical reactions. Enzymes work by lowering the activation energy required for a reaction to occur. Activation energy is the minimum amount of energy needed to start a chemical reaction. By lowering the activation energy, enzymes make it easier for reactant molecules to form the necessary chemical bonds and undergo the reaction, leading to a faster reaction rate. This means that the correct answer is: "It lowers the activation energy of the reaction, increasing the reaction rate."