When a hydrogen atom absorbs a photon, and an electron moves from energy level 1 to level 2, what happens to the energy of the atom?

Explanation:

The electron is jumped into higher level and back into lower level by absorbing and releasing the energy.

The process is called excitation and de-excitation.

Excitation:

When the energy is provided to the atom the electrons by absorbing the energy jump to the higher energy levels. This process is called excitation. The amount of energy absorbed by the electron is exactly equal to the energy difference of orbits.  For example if electron jumped from K to L it must absorbed the energy which is equal the energy difference of these two level. The excited electron thus move back to lower energy level which is K by releasing the energy because electron can not stay longer in higher energy level and comes to ground state.

Consider the hydrogen atom. When it is n=1 energy level its energy must be  -13.6 eV. While the energy of second energy level is -3.4 eV. Thus in order to jump from n=1 to n=2 its must absorbed (-3.4) - (-13.6) = 10.2 eV energy.

This is the excited state of hydrogen atom. It can not stay for long time in this state. It loses same amount of energy and came back to the ground state. Thus process is called de-excitation.