Indian Journal of Science and Technology

Open Access Open Access  Restricted Access Subscription Access

EOQ Model with Inventory Level Dependent Demand Rate under Permissible Delay in Payments with Cash Discount


Affiliations
1 Department of Mathematics and Statistics, DDU Gorakhpur University, Gorakhpur - 273009, Uttar Pradesh, India
2 Department of Mathematics, Graphic Era University, Dehradun - 248002, Uttara Khand, India
3 Department of Mathematics, MMM Engineering College, Gorakhpur - 273001, Uttar Pradesh, India
 

In this paper, we develop an EOQ model for power demand under the condition of permissible delay in payment by considering four different situations. Mathematical formulation is derived under these four different situations. The main objective of this work is to obtain minimum total relevant cost. Next, we derive optimal solution optimal cycle time, order quantity and total relevant cost for the proposed model. The theoretical results are illustrated with numerical examples. The sensitivity analysis of the optimal solution is provided with respect to key parameters of the system. Mathematica 5.1 software is used for finding numerical results.

Keywords

Cash Discount, Demand Rate, EOQ Model, Permissible Delay, Total Relevant Cost
User

Abstract Views: 158

PDF Views: 0




  • EOQ Model with Inventory Level Dependent Demand Rate under Permissible Delay in Payments with Cash Discount

Abstract Views: 158  |  PDF Views: 0

Authors

H. S. Shukla
Department of Mathematics and Statistics, DDU Gorakhpur University, Gorakhpur - 273009, Uttar Pradesh, India
R. P. Tripathi
Department of Mathematics, Graphic Era University, Dehradun - 248002, Uttara Khand, India
A. Siddiqui
Department of Mathematics and Statistics, DDU Gorakhpur University, Gorakhpur - 273009, Uttar Pradesh, India
Vivek Shukla
Department of Mathematics, MMM Engineering College, Gorakhpur - 273001, Uttar Pradesh, India

Abstract


In this paper, we develop an EOQ model for power demand under the condition of permissible delay in payment by considering four different situations. Mathematical formulation is derived under these four different situations. The main objective of this work is to obtain minimum total relevant cost. Next, we derive optimal solution optimal cycle time, order quantity and total relevant cost for the proposed model. The theoretical results are illustrated with numerical examples. The sensitivity analysis of the optimal solution is provided with respect to key parameters of the system. Mathematica 5.1 software is used for finding numerical results.

Keywords


Cash Discount, Demand Rate, EOQ Model, Permissible Delay, Total Relevant Cost



DOI: https://doi.org/10.17485/ijst%2F2015%2Fv8i28%2F121419