As for single-product deliveries, the total cost of the system consists of the cost of placing orders, maintaining stock and losses due to shortages. Total costs of placing an order: ?i Ki = K0(1+ ?· N) , (4-23) where K0 is the cost that does not depend on the number of simultaneously ordered products and […]
Tag: Uses
Dual linear programming problem
The dual linear programming problem can be formulated as follows: Find variables yi (i=1,2,… (m) at which the objective function would be minimal , without violating the restrictions This problem is called dual (symmetric) in relation to the direct problem formulated in the second paragraph of this chapter. However, the converse is also correct, because […]