Diff between intermediate products and final …

Intermediate goods are those goods that are used for resale or further production in the same year whereas final goods are those goods that are used either for consumption(households) or as an investment(by firms). (Machinery for firm or household both is final good). Intermediate goods are not included while calculating national income and domestic income whereas final goods are included. Intermediate goods have a derived demand and final goods have direct demand. There is value addition required in intermediate goods and there is no value addition required in final good. intermediate goods are still within production boundary and final goods have crossed production boundary. Examples:-intermediate goods-paper by publisher. final goods-milk purchased by household(consumption)

Intermediate goods are not included in NI Final goods are included in NI Intermediate goods are use as a raw materials Final goods are not use as a raw material

Intermediate goods are those goods which are not crossed the boundary line of production and are not ready to use by their final users Ex. Milk used by confectioner for making chocolate. Final goods are those goods which are crossed the boundary line of production and are ready to use by their final users Ex. Milk used by an household for making tea.

Intermediate goods are those goods which have not crossed the production line or goods which can be further used for production of final goods.For example:Cloth. Whereas final goods are those goods which have crossed the line of production and cannot be used for further production.For example:T shirt