Which of the following is an example of an intermediate good?
A)Sugar bought by a bakery
B)Sugar bought by a family
C)Furniture bought by a family
D)Burgers bought at a restaurant
E)Medicines bought at a pharmacy

Question

Quizplus · Accepted Answer

An intermediate good is a good that is used in the production of another good, rather than being sold directly to consumers. Sugar bought by a bakery is used to produce baked goods, so it is an intermediate good. Sugar bought by a family, furniture bought by a family, burgers bought at a restaurant, and medicines bought at a pharmacy are all final goods because they are sold directly to consumers.

Which of the Following Is an Example of an Intermediate