Subtracting each sector's intermediate consumption from gross output gives the GDP at factor cost.
2.
In the US economy, total intermediate consumption represents about 45 % of Gross Output.
3.
Under the city's financial accounting system, gross industrial production figures include intermediate consumption, or the value of raw materials.
4.
Only the expenses of materials needed for physical maintenance and repairs to buildings and equipment appear under intermediate consumption.
5.
But if employees have to use them specifically to do their work, they are included in intermediate consumption, and excluded from value-added.
6.
Arms expenditure regarded as intermediate consumption could, according to this accounting treatment, only refer to sales or exports in a different accounting period.
7.
The services component in intermediate consumption has grown strongly in the US, from about 30 % in the 1980s to more than 40 % today.
8.
It is sometimes difficult to draw an exact statistical boundary between GFCF and intermediate consumption, insofar as the expenditure concerns alterations to fixed assets owned.
9.
In the 1993 version of the UNSNA ( 2003 SNA ) the acquisition of armaments is not recorded as GFCF but as final consumption expenditure and intermediate consumption.
10.
Likewise, rentals paid by a business on buildings or equipment under an operating lease are recorded in national accounts as intermediate consumption, and are excluded from its value-added.
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