Abstract
A multi item inventory model with demand dependent on unit price and leading time with limited storage space and set up cost is considered in this paper. The varying production and leading time crashing costs are considered to be continuous functions of unit price and leading time respectively. The model is solved using Karush Kuhn Tucker conditions approach with optimal order quantity, unit price and leading time as decision variables. In most of the real world situations, the cost parameters, the objective functions and constraints of the decision makers are imprecise in nature. In this paper the unit cost has been imposed in fuzzy environment. An optimal total cost is obtained which is illustrated with numerical example for a single item.
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