From Monty, the presenter of the most frequently posted video on ASR, explained what is IMD:
Neither audio transducers nor power amplifiers are free of distortion, and distortion tends to increase rapidly at the lowest and highest frequencies. If the same transducer reproduces ultrasonics along with audible content, any nonlinearity will shift some of the ultrasonic content down into the audible range as an uncontrolled spray of intermodulation distortion products covering the entire audible spectrum. Nonlinearity in a power amplifier will produce the same effect. The effect is very slight, but listening tests have confirmed that both effects can be audible.
Above: Illustration of distortion products resulting from intermodulation of a 30kHz and a 33kHz tone in a theoretical amplifier with a nonvarying total harmonic distortion (THD) of about .09%. Distortion products appear throughout the spectrum, including at frequencies lower than either tone.
Inaudible ultrasonics contribute to intermodulation distortion in the audible range (light blue area). Systems not designed to reproduce ultrasonics typically have much higher levels of distortion above 20kHz, further contributing to intermodulation. Widening a design's frequency range to account for ultrasonics requires compromises that decrease noise and distortion performance within the audible spectrum. Either way, unneccessary reproduction of ultrasonic content diminishes performance.