Which of the following statements is true?
A)Capital goods are a type of intermediate good.
B)Capital goods are final goods because they are not used up during a given year.
C)Capital goods are produced in the same year as the related final goods,whereas intermediate goods are produced in different years.
D)Capital goods are produced in one year and final goods are produced over a period of more than one year.

Question

Quizplus · Accepted Answer

Capital goods are considered final goods because they are used in the production of other goods and services over time and are not consumed or used up within a single year.

Which of the Following Statements Is True