Abstract
In most economic lot size models, the demand during stockout period is either completely backordered, or lost. Also, the quantity received is assumed to be the same as the quantity ordered. In this paper, a lot size model is described in which the demand during stockout period is either completely or partially backordered, and also the quantity received is uncertain. The standard deviation of the quantity received is taken to be independent of, or proportional to, the quantity ordered. In both cases, the results obtained are shown to be extensions of the well known results of the simple lot size model with backordering.