A STUDY ON INVENTORY OF DETERIORATING THINGS HAVING PRICE RELIANT DEMAND, TIME RELIANT HOLDING COST

Abstract

A deterministic inventory model is developed in which demand is reliant on price; cost for holding inventory is reliant on time. In this study, a generalized policy is developed for deteriorated items in which deterioration rate and holding cost are function of time and demand rate is a depending upon selling price. Maximization of profit function approach has been adopted. Shortages can take place with backlog.