| Summary: | 碩士 === 中原大學 === 應用數學研究所 === 99 === Abstract
Economic Production Quantity model (EPQ) and Economic Ordering Quantity model (EOQ) were calculated in the earlier stage and numerous organizational managers have been practiced with these models since then.
Later on, a large number of documents were applied with these models which combined actual situations and partial assumptions to develop the ideal purchasing inventory strategies. The purpose is applying purchasing cost calculation and inventory cost in order to minimize the total production cost in each unit of time.
Nevertheless, there are several factors that are necessary to consider for organizational managers. Traditional EPQ model assumes that materials are enough for production and related charges merely includes the production cost, inventory cost and material cost.
However, the manufacturers nowadays normally purchase all materials that require during the production at the beginning of manufacturing cycle. Therefore, original material cost of inventory is calculated in the total cost. In addition, raw material consumes often happens during storage of materials and similar situation happens to finished products. This essay assumes that defective products can be repaired and sold.
Therefore, we calculate the cost that includes: original material cost of inventory, original material goods in stock consume, finished products in stock consume, and repair cost of defective finished products into EPQ model and obtain the lowest total cost on each unit of time with the optimal solutions in production cycle.
Key words: Inventory、original material cost of inventory、original material goods in stock consume、finished products in stock consume、 repair cost of defective finished products、
The Optimal Solutions.
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