An Integrated EPQ Model for Manufacturer’s Replenishment Policies with Two Levels of Trade Credit Policy under Supplier Credits Linked to Ordering Quantity

Abstract

AbstractIn this paper, we not only develop an integrated EPQ model for manufacture’s replenishment policies with two level of trade credit policy under supplier credits linked to ordering quantity, but also extend Teng and Chang [11] EPQ model more generalization in inventory system. We then provide the proper theoretical results to obtain the optimal solution. Finally, numerical examples are used to illustrate the proposed model and its optimal solution.KeywordsInventoryEPQTrade CreditsPermissible delay in payments