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Journal of Applied Sciences

Year: 2004 | Volume: 4 | Issue: 4 | Page No.: 630-635
DOI: 10.3923/jas.2004.630.635
Optimal Cycle Time and Optimal Payment Time under Supplier Credit
Yung-Fu Huang

Abstract: This study investigate the retailer’s optimal cycle time and optimal payment time under supplier’s trade credit policy and cash discount policy. Mathematical models have been derived for obtaining the optimal cycle time and optimal payment policy for item under supplier’s trade credit and cash discount so that the annual total relevant cost is minimized. Furthermore, numerical examples have given to illustrate the results developed in this study and a lot of managerial insights have obtained.

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How to cite this article
Yung-Fu Huang , 2004. Optimal Cycle Time and Optimal Payment Time under Supplier Credit. Journal of Applied Sciences, 4: 630-635.

Keywords: cash discount, trade credit and inventory

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