Provide option to try a question again displays a message after the student incorrectly answers a question. The message invites the student to try the question again, but for no points.
When you create a question in a lesson, you can create feedback for each of the answers to that question. However, if you set Provide option to try a question again to Yes, Moodle will override the feedback that you created for the answers. Instead, it will display a message asking you to try a question again.