An example of an intermediate good would be:
A) lumber used by a consumer to build a fence in his or her yard.
B) pencils purchased by a restaurant to be used to take orders.
C) a new stove purchased by a restaurant.
D) an airplane purchased by the government.
E) Social Security payments made by the government.

Question

Quizplus · Accepted Answer

Intermediate goods are goods that are used in the production of final goods or services. Pencils purchased by a restaurant to take orders would be an example of an intermediate good as they are not the final product being sold to the consumer.

An Example of an Intermediate Good Would Be