Buyer's EOQ model for deteriorating products under order-size-dependent delay in payments

  • Published : 2002.05.01

Abstract

This paper deals with the problem of determining the buyer's economic lot sizing policy for exponentially deteriorating products under trade credit. Assuming that the supplier's credit terms are already known and the length of delay is a function of the buyer's order size, we formulate the mathematical model and the solution algorithm is developed based on the properties of an optimal solution.

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