An Order Level Inventory Model For a Deteriorating Item With Constant Deterioration, Exponential Demand and Shortages Analytical Solution and Sensitivity Analysis
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An Inventory model isdeveloped for a deteriorating item with constant deteriorating rate having aninstantaneous supply, an exponential demand and shortages in Inventory. Themodel is solved analytically to obtain the optimal solution of the problem. Itis then illustrated with the help of numerical example. The sensitivity of theoptimal solution towards changes in the values of different parameters is alsostudied.
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