Purchasing in excessive quantities will result in?

Purchasing in excessive quantities will result in?

• A. Higher quality control
• B. More product being at risk for theft
• C. Lower costs per unit
• D. Less inventory management

Answer: (B)

Overstocking inventory increases exposure to shrinkage. When you keep excessive quantities on hand, more items are stored in multiple locations, creating more opportunities for theft or loss and making discrepancies harder to detect quickly. Bulk buying can sometimes lower unit costs, but the scenario focuses on the downsides of having too much stock, not on quality gains or savings. The other options don’t fit: higher quality control isn’t guaranteed by larger stock, carrying risks don’t disappear with more items, and more stock actually requires more inventory management, not less.

Overstocking inventory increases exposure to shrinkage. When you keep excessive quantities on hand, more items are stored in multiple locations, creating more opportunities for theft or loss and making discrepancies harder to detect quickly. Bulk buying can sometimes lower unit costs, but the scenario focuses on the downsides of having too much stock, not on quality gains or savings. The other options don’t fit: higher quality control isn’t guaranteed by larger stock, carrying risks don’t disappear with more items, and more stock actually requires more inventory management, not less.