In this paper we consider a single machine system that produces items part of which are defective. The defective items produced in a time period, consisting of several equal cycles, are accumulated and are all reworked in the last cycle of this period called the rework cycle. At the end of the rework cycle the whole process will start all over again. The first significant objective of this stud...

We develop an inventory model to determine optimal ordering policy under permissible delay in payment by considering demand rate to be stock dependent. Mathematical models are derived under two different cases: credit period being greater than or equal to cycle time for settling the account, and credit period being less than or equal to cycle time for settling the account. The results are illus...