Abstract
This paper deals with infinite time horizon economic order quantity two-warehouse inventory model for deteriorating items with shortages. Shortages are allowed and the unsatisfied demand is partially backlogged. The backlogging rate is a fraction of the on-hand inventory. We consider demand as a function of time. The objective of this model is to minimise the total cost of the retailer. Numerical examples are presented to determine the developed model and the solution procedure. Time dependent partial backlogging model is compared with complete backlogging model.
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