EOQ model

Basic Data Notation Description T Total planning horizon (days) Value 30 Y01 YO2 YO3 1 Replenishment lead time (days) 2 3 2 Y01 YO2 Unit purchasing cost per unit ($) YO3 50 30 40 A 150 Fixed ordering cost ($) Daily interest rate (%) Po i 20% b Backorder penalty cost ($) Y01 45 YO2 60 YO3 75 4 4 LO 6 8 14 YO1 Day 1 Demand 11 Day 16 Demand 13 7 11 9 12 10 13 11 12 12 13 13 12 15 11 14 14 12 11 12 2 12 17 11 3 12 18 13 19 20 21 22 23 24 25 26 27 28 29 30 12 13 12 12 10 10 12 12 12 13 12 11 LO YO2 Day 1 Demand 10 Day 16 Demand 13 2 13 17 13 3 8 18 13 4 9 19 10 11 20 10 6 8 21 10 7 13 22 8 8 12 23 10 9 11 24 13 10 13 25 10 11 9 26 9 12 10 27 9 13 13 28 12 14 8 29 11 15 12 30 9 2. YO3 Day 1 Demand 15 Day 16 Demand 16 14 17 18 3 14 18 17 4 16 19 17 5 15 20 15 6 13 21 16 7 17 22 14 8 16 23 13 9 15 24 18 10 15 25 16 11 16 26 14 12 | 13 14 17 13 18 27 28 29 14 16 18 15 17 30 17 Q. T. Day Order quantity Cost Replenishm net amount Inventory Backorder 30 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 Demand 0 11 12 12 14 14 12 11 11 12 13 12 13 12 12 11 13 11 13 12 13 12 12 10 10 12 12 12 13 12 11 Result Total order quantity Total order frequency Total Inventory Total backorder Cost Total purchase cost Total ordering cost Total Inventory cost Total backorder cost Total cost Basic Data Notation Description T Total planning horizon (days) Value 30 Y01 YO2 YO3 1 Replenishment lead time (days) 2 3 2 Y01 YO2 Unit purchasing cost per unit ($) YO3 50 30 40 A 150 Fixed ordering cost ($) Daily interest rate (%) Po i 20% b Backorder penalty cost ($) Y01 45 YO2 60 YO3 75 4 4 LO 6 8 14 YO1 Day 1 Demand 11 Day 16 Demand 13 7 11 9 12 10 13 11 12 12 13 13 12 15 11 14 14 12 11 12 2 12 17 11 3 12 18 13 19 20 21 22 23 24 25 26 27 28 29 30 12 13 12 12 10 10 12 12 12 13 12 11 LO YO2 Day 1 Demand 10 Day 16 Demand 13 2 13 17 13 3 8 18 13 4 9 19 10 11 20 10 6 8 21 10 7 13 22 8 8 12 23 10 9 11 24 13 10 13 25 10 11 9 26 9 12 10 27 9 13 13 28 12 14 8 29 11 15 12 30 9 2. YO3 Day 1 Demand 15 Day 16 Demand 16 14 17 18 3 14 18 17 4 16 19 17 5 15 20 15 6 13 21 16 7 17 22 14 8 16 23 13 9 15 24 18 10 15 25 16 11 16 26 14 12 | 13 14 17 13 18 27 28 29 14 16 18 15 17 30 17 Q. T. Day Order quantity Cost Replenishm net amount Inventory Backorder 30 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 Demand 0 11 12 12 14 14 12 11 11 12 13 12 13 12 12 11 13 11 13 12 13 12 12 10 10 12 12 12 13 12 11 Result Total order quantity Total order frequency Total Inventory Total backorder Cost Total purchase cost Total ordering cost Total Inventory cost Total backorder cost Total cost