The function of money that enables credit purchases of goods and services is

Analyze the question: It asks which function of money makes it possible to buy goods and services on credit, meaning you receive the item now and pay later.

Explain the concept: Money has four main functions:

1. Medium of exchange: accepted in payment for goods and services.
2. Unit of account (measure of value): lets us express the prices and values of goods in common terms, such as ₦500 for a loaf of bread.
3. Store of value: lets purchasing power be saved and used later.
4. Standard for deferred payment: lets debts be settled in the future. Because money is a stable and accepted unit, it can be used to state the amount owed on credit, loans, and installment purchases.

Solution:

• A. Unit of account: this is about measuring and comparing values, not about delaying payment.
• B. Store of value: this is about keeping wealth over time. It is related, but it does not describe buying now and paying later.
• C. Standard for deferred payment: this fits exactly. When you buy on credit, you agree to pay a specified sum of money later, so money acts as the standard for that deferred payment.
• D. Relative scarcity: this is not a function of money. It is an economic concept about limited resources.

Answer: The correct option is **C. standard for deferred payment.

Tip: Link the keyword "credit" or "later" with deferred payment. "Deferred" means delayed. If the question mentions saving or keeping wealth, think store of value. If it mentions pricing or measuring, think unit of account.