Search results for "Holding cost"
showing 3 items of 3 documents
Is the long-run underperformance of seasoned equity issues irrational? Evidence from Spain
2007
Abstract We investigate if the long-run underperformance in the year after the issue of a sample of Spanish SEO firms is related to behavioural biases that lead investors to slowly adjust their pre-issue overoptimism. We also examine the existence of arbitrage costs that preclude mispricing from being corrected rapidly by sophisticated investors who act as arbitrageurs. Our findings support the contention that small SEO firms are overpriced at the time of the issue and suggest that their post-underperformance is related to arbitrage costs, where transaction costs play an important role although holding costs do not.
Interactive Multiobjective Optimization in Lot Sizing with Safety Stock and Safety Lead Time
2021
In this paper, we integrate a lot sizing problem with the problem of determining optimal values of safety stock and safety lead time. We propose a probability of product availability formula to assess the quality of safety lead time and a multiobjective optimization model as an integrated lot sizing problem. In the proposed model, we optimize six objectives simultaneously: minimizing purchasing cost, ordering cost, holding cost and, at the same time, maximizing cycle service level, probability of product availability and inventory turnover. To present the applicability of the proposed model, we consider a real case study with data from a manufacturing company and apply the interactive NAUTI…
General Economic Order Quantity Model for Lot Sizing with Quality Loss and Process Analysis
1995
In this paper a new model GEOQ is proposed to decide the optimal lot sizing in production. The GEOQ modifies the classical EOQ method in several aspects. First it considers that there is always a probability that the production goes out-of-control; then it takes the time the process goes out-of-control as a stochastic quantity; and finally it adds quality loss to the economic models. The quality loss is calculated according to Taguchi’s quadratic loss function. and depends on the process failure models. Therefore, the optimal lot sizing is decided not only by the set-up cost and the holding cost but also by the quality loss during the manufacturing process.