Intermediate consumption

Intermediate consumption is when you use things to make other things. Think of it like making cookies: you need flour, sugar, eggs, and butter to make the cookies. Those ingredients are like intermediate consumption because you need them to make the cookies, but they're not the cookies themselves.

In the same way, when a company makes something, they need to use things like materials, electricity, and water to make their product. Those things are all examples of intermediate consumption because they're important for making the product, but they're not the product itself.

So, intermediate consumption is when you use things to make something else, just like how you use ingredients to make cookies.