An EOQ Model With The Index Time-Varying Rised Price

After the economic crisis in 2008, a large number of money was put into the market, leading to substantial rise in prices of goods that has seriously affected the economic development at home and abroad. The consumer price index (CPI) increased with no handicap since july in 2009, and by november in 2010, the CPI has rosed 5.1% compared with the same period last year, rosed 1.1% compared with last month, it exceeded 5% within a year for the first time, a record high since 28 months. The increase of price leaded to the large amount of funds used for goods, cash flow difficulties, and the management of the struggling. The inventory control is the most important part in a factory for ordering goods, controlling cost, increasing profits, and reducing lost order and accelerating cash flowing as well.The thesis illuminated the basic theory of inventory control, and time-varying price, backlogging, non-immediate deterioration were presented, Based on the analysis of these papers, some conclusions were finished.An EOQ model of a time-varying purchase price and inflation for non-instantaneous goods was established. Numerical examples and the main parameters sensitivity analysis showed:the initial purchase price and the price growth factor had a greater impact on the costs of ordering policies, deterioration rate and capital discount rate had some and shelf-life of less.An EOQ model of a time-varying purchase price and stock dependent selling ratefor goods was established. Numerical examples and the main parameters sensitivity analysis showed:the initial purchase price and the price growth factor had a greater impact on the costs of ordering policies, stock dependent selling rate and the minimum stock levels of the stock dependent selling rate had some impact.A survey of garlic on agricultural products wholesale market in Chongqing in 2009 have be made and found that the purchase price and sales of garlic was index- vary rising with time. Based on this, an EOQ model was developed under time-varying price and shortage backlogging. With actual survey datas, the model was calculated. Numerical examples and the main parameters sensitivity analysis showed: the initial purchase price, purchase price growth factors and shortage backlogging factors had a greater impact on the ordering policy and the total profit, the initial sales price and the selling price growth factors had some.