Final answer:
When Brent uses his credit card to purchase a new television, the money to pay the retailer is taken from the credit card company's M1 funds.
Step-by-step explanation:
When Brent uses his credit card to purchase a new television, the money to pay the retailer is taken from the credit card company's M1 funds.
M1 funds are the most liquid form of money, which includes currency and checks that are easily spendable. Credit cards act as a medium to transfer funds from the credit card company's M1 funds to the retailer.
In this case, Brent will later repay the credit card company when his credit card bill comes due, allowing the company to replenish their M1 funds.