An inventory model for deteriorating items with price dependent demand and time-varying holding cost

In this paper a deterministic inventory model is developed when the deterioration rate is time proportional. Demand rate is a function of selling price and holding cost is time dependent. The model is first solved allowing shortage in inventory. The case of no-shortage is discussed next. The results are illustrated with the help of numerical example. The sensitivity of the solution with the changes of the values of the parameters associated with the model is discussed.