This paper deals with an inventory model for deteriorating items with inventory dependent demand function. Most of the inventory models are considered with constant rate of deterioration. In this article, we consider time varying deterioration rate. Based on the demand and inventory, the model is considered with three possible cases. We establish the necessary and sufficient conditions for each case to show the existence and uniqueness of the optimal solution. Further, a simple solution algorithm has proposed to obtain the optimal replenishment cycle time and ordering quantity such that the total profit per unit time is maximized. Finally, some numerical examples, sensitivity analysis and graphical representations are provided to illustrate the practical usages of the proposed method.
Bibliographical noteFunding Information:
The authors wish to thank the Editor-In-Chief of the Journal and referees for their encouragement and constructive comments to improve the paper. The authors are grateful to the University Grants Commission, India (Minor Research Project, File no. 41-1433/2012(SR) ) for their financial assistance and Vidyasagar University, India for the infrastructural assistance to carry out the research. The 1st author is grateful to his parents, wife and son for their inspirations and continuous support. The 2nd author would like to express his heartiest gratitude to his parents and his Ph.D. guide Dr. Biswajit Sarkar.
All Science Journal Classification (ASJC) codes
- Economics and Econometrics