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Mathematical Problems in Engineering
Volume 2006 (2006), Article ID 79028, 5 pages
http://dx.doi.org/10.1155/MPE/2006/79028

The effect of service constraint on EPQ model with random defective rate

Department of Business Administration, Chaoyang University of Technology, Taichung 41349, Taiwan

Received 22 September 2005; Revised 4 January 2006; Accepted 21 February 2006

Copyright © 2006 Yung-Fu Huang. This is an open access article distributed under the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.

Abstract

Chiu studied the effect of service-level constraint on the economic production quantity (EPQ) model with random defective rate. In this note, we will offer a simple algebraic approach to replace his differential calculus skill to find the optimal solution under the expected annual cost minimization.