Advanced Methods of Mathematical Modelling and Their Use in the Inventory Management Model

Abstract

The traditional descriptions of economic models use ordinary differential equations (ODE), but when admitting the argument delay in a given model it is necessary to realize description using functional differential equations. It turns out the solution of such a model is closer to reality. It provides demonstration of using differential equations with delayed argument to solve economic problems by means of the efficient use of the inventory and production model.The traditional descriptions of economic models use ordinary differential equations (ODE), but when admitting the argument delay in a given model it is necessary to realize description using functional differential equations. It turns out the solution of such a model is closer to reality. It provides demonstration of using differential equations with delayed argument to solve economic problems by means of the efficient use of the inventory and production model.