Title: EOQ model with linear time dependent demand and different holding cost functions

Authors: R.P. Tripathi; S.M. Mishra

Addresses: Department of Mathematics, Graphic Era University, Dehradun, (UK), India ' Department of Mathematics Institute of Technology and Management, Lucknow (UP), Uttarakhand Technical University, Dehradun (UK), India

Abstract: In real life observation demand rate depends on time. In this paper demand rate is considered as linearly time dependent and holding cost is exponentially time dependent for case I and time dependent for case II. Previous models considered that demand rate as well as holding cost both being constant. To stimulate more sales the demand rate is not constant but it is time-dependent, stock dependent, inflation dependent, cash discount etc. Differential calculus is used for finding optimal order cycle, optimal cycle time, optimal total inventory cost for both cases (i.e., case I and case II). Sensitivity analysis is given for the variation of various parameters for both cases.

Keywords: optimisation; inventory modelling; inventory management; time-dependent demand; exponential holding cost; EOQ model; economic order quality; differential calculus; order cycle; cycle time; inventory cost.

DOI: 10.1504/IJMOR.2016.079804

International Journal of Mathematics in Operational Research, 2016 Vol.9 No.4, pp.452 - 466

Received: 02 Jan 2015
Accepted: 27 Jan 2015
Published online: 16 Oct 2016 *

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