Abstract: Objectives:With the intensification of market competition, enterprises are facing a growing number of market risks and financial pressure, shortage of funds will become the norm,which restricts the rapid development of enterprises. Considering the lack of retail funds and randomness of customer demand, an ordering model for deteriorating items that combines supply chain finance and ACC payment (advance payment, cash payment and credit payment) is constructed on the basis of the newsboy model. Methods:The new model gives the specific interest income and interest cost of retailer based on different payment proportionality, payment cycle and order cycle. In addition, it combines with changes in inventory model to obtain the metamorphism cost and opportunity cost. In this model, shaortage is allowed, the sales of the product, financing interest and credit period are also considered, which is under the cooperation of retailers, suppliers and financing institutions. Results:In this paper, the order quantity is set as the independent variable and the minimum expected cost as the objective function. Then it proves the existence and reliability of the optimal solution and gives the calculation method of the optimal solution.Conclusions:The study shows that the retailer will adjust the order quantity with the increase and decrease of the optimal order quantity and the minimum expected cost, so as to avoid the risk of oversupply.And the supplier can adjust the payment ratio appropriately to let the retailer share the risk of bad debts and commodity deterioration.

Key words: advance payment, credit payment, newsboy model, supply chain finance