Abstract
This paper proposes an online leasing problem considering both price fluctuations and the second-hand transaction. In the studied problem, the price of the required equipment is assumed to fluctuate over time and lie in a predetermined range [1, M]. Moreover, the price between two adjacent times is controlled within an acceptable range [1/α, α]. The equipment can be sold through second-hand transaction after its end of use. The selling price in the second-hand transaction is assumed to vary along with the price fluctuations. The aim of this paper is to find the best possible online leasing strategy which generates a minimal cost for using the equipment. We present an online leasing algorithm for solving this problem and prove it to be the optimal online algorithm. Computational experiments are conducted to evaluate the characteristics of the problem and the performance of the proposed online leasing algorithm.
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Acknowledgements
This work was partially supported by the National Natural Science Foundation of China (Grant No. 71701048, 71871159), Program for Distinguished Young Scholars in University of Fujian Province, Program for Distinguished Young Scholars in Fujian Agriculture and Forestry University (Grant No. KXJQ1731), and Program of Fujian Social Science Research Base (Grant No. KXJD1806A, KXJD1841A).
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Feng, X., Chu, C. Online leasing problem with price fluctuations and the second-hand transaction. J Comb Optim 43, 1280–1297 (2022). https://doi.org/10.1007/s10878-020-00640-x
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DOI: https://doi.org/10.1007/s10878-020-00640-x