An inventory model for deteriorating items with partial backlogging and permissible delay in payments

The paper deals with an inventory model with a varying rate of deterioratio n and partial backlogging rate under the condition of permissible delay in payments. The existing literature on the subject generally deal with situat ions where the payment of an order is made on the receipt of items by the i nventory system and shortages are either completely backlogged or fully los t. In this paper, a varying deterioration rate of time and the condition of permissible delay in payments used in conjunction wit the economic order q uantity model are the focus of discussion. In addition, the shortages are n either completely backlogged nor completely lost assuming the backlogging r ate to be inversely proportional to the waiting time for the next replenish ment. Numerical examples are presented to illustrate the model.