Question

Goods purchased for the following purpose are final goods:

Options

• for satisfaction of wants

• for investment in firm

• both (A) and (B)

• none of the above

Answer 1

both (A) and (B)

Explanation:

The goods that do not require further processing are referred to as final goods. These goods are produced for direct consumption, either by a consumer for ultimate consumption or by a producer for capital formation or investment.