Abstract
Goyal (1985) discusses the economic order quantity under conditions of permissible delay in payments. An implicit assumption of Goyal (1985) is that the retailer's storage space is unlimited. But this assumption is debatable in real-life situations, The main purpose of this paper is to want to investigate the effect of trade credit policy with limited storage space within the economic order quantity (EOQ) framework. Theorems I and 2 present solution procedures to locate the optimal cycle times of the annual total relevant cost function. In essence, the inventory model discussed in this paper generalizes that of Goyal (1985). Finally, numerical examples are given to illustrate all theorems obtained in this paper.
Sign-in/Register to access full text options 
Free) 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a call
