This study applies the discounted cash flow (DCF) approach for the analysis of a
replenishment problem over a finite planning horizon. Thus, a deterministic economic order
quantity (EOQ) inventory model taking into account inflation and time value of money
is developed for deteriorating items with price- and stock-dependent selling rates. An efficient
solution procedure is presented to determine the optimal number of replenishment, the cycle
time and selling price. Then the optimal order quantity and the total present value of profits
are obtained. Numerical examples are presented to illustrate the proposed model and
particular cases of the model are also discussed.
關聯:
International Journal of Systems Science, 37(15), 1131-1139
