Concept:
FAD (Flavin Adenine Dinucleotide) undergoes reduction to FADH$_2$ by accepting two electrons and two protons. This process occurs via intermediate formation.
Step 1: Understand electron transfer.
FAD accepts electrons in two steps:
• First electron → forms semiquinone radical (FADH$\cdot$)
• Second electron → forms FADH$_2$
Step 2: Identify nature of intermediates.
The intermediate formed is a radical species (semiquinone form).
Step 3: Determine process type.
Since electrons are added in two steps and involve a radical intermediate:
\[
\text{Two-step process with radical intermediates}
\]
Step 4: Final conclusion.
Thus, the correct description is:
\[
Two-step process with radical intermediates
\]