I have to agree with Mark. This article is very hard to follow and very theoretical. I'm sure the authors had good intentions when attempting to explain the algebraic equations for EOQ and EPQ with backorder costs, but I got lost in all the equations and notations throughout the article. However, I did gain from the article that there is a case when backorders are too expensive and there is a case when backorders are attractive, and these cases are rather similar for both EOQ and EPQ. (The equations are listed in the article.) I appreciate the simpler algebraic equations for this analysis, but I do not think I'll have much use for proving these formulas in my career.
Laura Sitko
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I agree that we wont have much use for proving these formulas in our careers. However, I think its good to know how the formulas are produced and how the problems can be solved as it can only add to our abilities and problem solving skills.
-Mark
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