Target Exam

CUET

Subject

Economics

Chapter

Macro Economics: National Income Accounting

Question:

Steel sheets are used for making automobiles and copper used for making utensils, what type of goods are these (Steel and Copper)?

Options:

Consumption Goods.

Final Goods.

Intermediate Goods.

Capital Goods.

Correct Answer:

Intermediate Goods.

Explanation:

The correct answer is Option (3) → Intermediate Goods.

Steel and copper in this context are used as inputs in the production process — steel for making automobiles and copper for making utensils. Since they are not meant for final consumption but are used to produce final goods, they are classified as intermediate goods.