75. Assume that the order point for a product is four units and the maximum stock level is ten units. If there are two units in stock, how many should be ordered?
Answer: D
Eight units should be ordered.
To maintain optimal inventory levels, an order of eight units is necessary when there are currently two units in stock, given the order point and maximum stock level.
B) 2
Ordering two units would not be sufficient to reach the maximum stock level, which is ten units. Since there are already two units in stock, this option fails to meet the requirement of replenishing until the maximum is reached.
C) 4
Ordering four units would bring the total stock to six units, which is still below the maximum stock level of ten. This option does not fulfill the need to restock adequately to maintain inventory efficiency.
D) 8
By ordering eight units, the total stock will reach ten units, which aligns perfectly with the maximum stock level set for the product. This ensures that inventory is sufficient and meets the operational needs.
Conclusion
The correct answer is eight units as it allows the stock to reach the maximum level required for operational efficiency. Options B and C do not provide sufficient inventory to meet the established maximum, making them inadequate solutions in this context. Thus, option D stands out as the only viable answer.