An EOQ Model with Stock and Time Dependent Consumption Rate with Shortages under Inflationary Environment

  • Yogendra Kumar Rajoria Department of Mathematics, Graphic Era University, Dehradun, India
  • Seema Saini Department of Mathematics, Graphic Era University, Dehradun, India
  • Anand Chauhan Department of Mathematics, Graphic Era University, Dehradun, India
Keywords: Inflation, Time value of money, Time horizon


In this paper, we developed an Economic order quantity model for decaying goods with stock and time reliant demand rate under inflationary environment and time discounting over a fixed time horizon. Shortages are also permitted and are partially backordered. The results are discussed with a numerical example and particular cases are also discussed briefly.


Download data is not yet available.


Balkhi, Z. T., & Benkherouf, L. (2004). On an inventory model for deteriorating items with stock dependent and time-varying demand rates. Computers & Operations Research, 31(2), 223-240.

Sharma, V., Chauhan, A., & Kumar, M. (2016). EOQ models with optimal replenishment policy for perishable items taking account of time value of money. Indian Journal of Science and Technology, 9(25), 1-19.

Chauhan, A., & Singh, A. P. (2014). Optimal replenishment and ordering policy for time dependent demand and deterioration with discounted cash flow analysis. International Journal of Mathematics in Operational Research, 6(4), 407-436.

Datta,T.K.,&Paul. A.K.(2001). An inventory system with stock-dependent, price-sensitive demand rate. Production Planning and Control, 12(1), 13-20.

Gupta, R., &Vrat, P. (1986). Inventory model for stock-dependent consumption rate. Opsearch,23, 19–24.

Goyal,S.K. & Chang. C. T.(2009). Optimal ordering and transfer policy for an inventory with stock dependent demand. European Journal of Operational Research,196,177–185.

Padmanabhan, G., & Vrat, P. (1988).Inventory models for perishable items under stock dependent consumption rate. InXXIst Annual ORSI Convention,1998,Trivandrum, India.

Patra,S.K.,&Ratha,P.C.(2012).An inventory replenishment policy for deteriorating items under inflation in a stock dependent consumption market with shortage. International Journal of Tran disciplinaryResearch, 6 (1),1-23.

Ray, J. &Chaudhuri, K.S. (1997). An EOQ model with stock-dependent demand shortageinflation and time discounting.International Journal of Production Economics, 53,171–180.

Shah. N.H.,&Soni. H.,(2008). Optimal ordering policy for stock-dependent demand under progressive payment scheme. European Journal of Operational Research,184, 91–100.

Sarkar,B., & Sarkar,S.(2013). An improved inventory model with partial backlogging, time varying deterioration and stock-dependent demand.Economic Modelling,30,924-932.

Singh,S.R.,&Sharma,S.(2014). Optimal trade-credit policy for perishable items deeming imperfect production and stock dependent demand. International Journal of Industrial Engineering Computations,5(1),151-168.

Urban,T.L.(1995). Inventory models with the demand rate dependenton stock and shortage levels.International Journal of Production Economics, 40(1),2–28.

Yang, H.L., Teng, J.T., &Chern, M.S. (2010). An inventory model underinflation for deteriorating items with stock-dependent consumption rate and partial backlogging shortages. International Journal of Production Economics,123, 8-19.