Single-period inventory models have wide applications in solving real world problems. The
conventional studies have focused on the cases that the demands are probabilistic. In other
words, the demands follow certain distribution functions. This paper concentrates on possibilistic
situations, in that the demands are described by subjectively determined membership functions.
For each order quantity Q, a fuzzy total cost composed of the procurement cost, shortage cost,
and holding cost is associated with it. By applying the Yager’s method for ranking fuzzy numbers,
a quantity with the smallest fuzzy cost is calculated.