The comparisons between the economic lot quantity with backorders derived algebraically and analytically

Abstract

The convexities of the total cost functions of the EOQ and EPQ models with backorders are widely mentioned in textbooks. However, the convexities of the EOQ and EPQ models with backorders are rarely discussed in textbooks and articles. This paper complements the shortcomings of them and explores the convexities of the total annual cost functions of the EOQ and EPQ models with backorders. Finally, this paper compares the differences between the EOQ and EPQ models with backorders derived algebraically and analytically.

Keywords:

• EOQ
• EPQ
• backorders
• convexity