Which among the following are final goods and which are intermediate goods ? Give reasons. (a) Milk purchased by a tea stall
Which among the following are final goods and which are intermediate goods ? Give reasons.
(a) Milk purchased by a tea stall
(b) Bus purchased by a school
(c) Juice purchased by a student from the school canteen.
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(a) Milk purchased by a tea stall is an intermediate good because it is purchased by a firm as a raw material for the process of production of other good.
(b) Bus purchased by a school is a final good as it is purchased for the consumption and not for resealing.
(c) juice purchased by a student from the school canteen is a final good as it is purchased for the consumption and not for reselling.
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