An Improved Inventory Model for Decaying Items with Quadratic Demand and Trade Credits

Abstract

The present research work shows a deterministic inventory model for decaying products. Most of these works consider the constant parameters with the inventory model. Here we assume the quadratic decreasing demand rate and assume the contractor provides a credit period to the buyer. After the completion of the period, the contractor will charge some interest. Shortages are permitted till the next replenishment. Numerical examples are also used to illustrate the performance of the model. The obtained results are expected to provide improve the accuracy of the objective function for the developed model.