A finite replenishment model with trade credit and variable deterioration for fixed lifetime products
نویسندگان
چکیده
This article explores a finite replenishment model with variable deterioration for fixed lifetime products. In this model, suppliers offer trade credit period to the retailers in order to increase the demand of their products. During the credit period, the retailers can earn more by selling their products. The interest on purchasing cost is charged for the delay of payment by the retailers. Some of the items may deteriorate in the course of time. The purpose of this model is to minimize the total cost of the system. Some numerical examples along with graphical representations are pointed out to illustrate the model. Finally, through numerical examples, a sensitivity analysis shows the influence of the key model parameters.
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