Question

Expenditure on intermediate goods by the producers during an accounting year is called
intermediate consumption or intermediate cost. If intermediate consumption is
deducted from the value of output, we get 'gross value addition' (also called Gross Value
Added, or Gross Product of the producer). Thus,
Value of Output (say chairs)
Intermediate consumption (cost of wood and other material used in the production
of chairs)
Gross value addition or gross product of the producer.( i am unable to understand please help me anyone who can )..​

Answer 1

Expenditure on the intermediate goods of the producers during an accounting year is called intermediate expenditure