%0 Journal Article
%T Optimal batch production strategies under continuous price decrease and time discounting
%A Mandal S.
%A Giri B.C.
%A Chaudhuri K.S.
%J Yugoslav Journal of Operations Research
%D 2007
%I University of Belgrade
%R 10.2298/yjor0702165m
%X Single price discount in unit cost for bulk purchasing is quite common in reality as well as in inventory literature. However, in today's high-tech industries such as personal computers and mobile industries, continuous decrease in unit cost is a regular phenomenon. In the present paper, an attempt has been made to investigate the effects of continuous price decrease and time-value of money on optimal decisions for inventoried goods having time-dependent demand and production rates. The proposed models are developed over a finite time horizon considering both shortages and without shortages in inventory. Numerical examples are taken to illustrate the developed models and to examine the sensitivity of model parameters.
%K inventory
%K continuous price change
%K time value of money
%K shortage
%U http://www.doiserbia.nb.rs/img/doi/0354-0243/2007/0354-02430702165M.pdf