An intermediate good would be:
A) a new boat to be used for vacations.
B) lumber used to build a house.
C) payments to military personnel.
D) a professor's salary.

Question

Quizplus · Accepted Answer

An intermediate good is a product or service that is used to produce another product or service, rather than being sold directly to the end user. Lumber used to build a house is an intermediate good because it is used to produce the house, but it is not sold directly to the person who will live in the house. The other options are either final goods (such as a new boat for vacations) or payments for services (such as a professor's salary).

An Intermediate Good Would Be