Net Present Value Analysis of the Economic Production Quantity


Using Laplace transforms and the Lambert W function we obtain an exact solution for the optimal batch quantity that minimizes the Net Present Value of the cash flows in the Economic Production Quantity model.

53rd Annual OR Society Conference Keynote and Short Papers, Edited by D. Petrovic and A.A. Syntetos, Nottingham, UK, September 6th – 8th, 29 - 34