Explanation:

Box 1: SID1234
Parameters
All methods have their own scope. A method can take one or more parameters. Within the scope of the method, these parameters are treated as local variables and are initialized with a value from the parameter in the method call. All parameters are passed by value, which means that you can't change the value of the original variable. You can change only the local variable in the method. This local variable is a copy of the original variable.
Box 2: 5
Reference:
https://docs.microsoft.com/en-us/dynamics365/fin-ops-core/dev-itpro/dev-ref/xpp-classes-methods