AL-Rafidain Journal of Computer Sciences and Mathematics

Abstract

In this paper addresses the multi-period single-item inventory problem with stochastic demands. In which the demand in each period is known but it varies from time to time for N replenishment periods.
The main idea is to calculate expected the total minimum cost and the optimal quantity and the optimal replenishment periods using probabilistic dynamic  programming.
The results showed the optimal replenishment are (1, 10, 28), optimal quantity is (34974) and the expected total minimum cost is (883.487).