Order quantity of inventories can be determined with reference to the determinations of inventory peculiarly calculated for each company.Minimum Level: The minimum allowable level of inventory that should be hold at all times. If the stock level on a point of time is less than the minimum level, then the work will stop due to shortage of material.Re-order Level: Re-ordering level is fixed amount between the minimum and maximum level. Maximum Level: It is the maximum limit of the quantity of inventories to be maintained. Danger Level: It is the level below the minimum level. Average Stock Level: It represents the average holding of inventories. The correct answer is B.