Note: A note on the production and inventory systems taking account of time value |
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| Authors: | Yung-Fu Huang Kun-Jen Chung |
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| Institution: | 1. Department of Business Administration , Chaoyang University of Technology , Taichung, Taiwan, ROC E-mail: huf@mail.cyut.edu.tw;2. Department of Industrial Management , National Taiwan University of Science and Technology , Taipei, Taiwan, ROC |
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| Abstract: | This paper deals with the optimal inventory decisions taking account of time value by applying the concept of the present value method, and modifies the bounds for the optimal cycle time described in Chung et al. (Production Planning & Control, 1998, 9, 580–584). A modified algorithm to compute the optimal cycle time is developed to improve the paper of Chung et al. Finally, a numerical example is given to illustrate the algorithm discussed in this paper. |
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| Keywords: | EOQ EPQ present value time value of money |
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