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Background/Objectives: In this model we investigate and analyzing an inventory model for non-instantaneous decaying items are considered under permissible delay in payments for retailer’s optimal replenishment policy. Statistical Analysis: Inventory models play most influential role in analyzing many realistic situations into the picture like, vegetable and food markets, oil exploration industries, warehouses, market yards, etc. In the most inventory organizations are usually formed without considering the effect of deterioration of items but here we have considered variable deterioration, linear demand and unsatisfied demand is partially backlogged. Findings: The model is solved analytically by minimize the retailer’s total cost specific value of the parameters. Application/Improvements: Three conditions of allowable delay in payments are discussed. Sensitivity analysis of the model with different parameter is use to discover the most favorable solution.


Linear Demand, Non-Instantaneous Deterioration, Partial Backlogging, Permissible Delay in Payments.