Which of the following is an example of a final good or service?
A) wheat a bakery purchases to make bread
B) coffee beans Starbucks purchases to make coffee
C) lumber purchased by a construction company to used in building houses
D) a computer purchased by Federal Express to track shipments

Question

Quizplus · Accepted Answer

A computer purchased by Federal Express to track shipments is a final good or service as it is used directly in the production of tracking services, which is the primary activity of Federal Express. On the other hand, wheat, coffee beans, and lumber are intermediate goods as they are further processed by the bakery, Starbucks, and construction company respectively before they become final goods for consumers.

Which of the Following Is an Example of a Final