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I formulate an EOQ model and Two-level inventory model of preservation technology for deteriorating items with expiration date. Credit period with default risk and two-level trade credit period with maximum lifetime is the main focus of this part. The supplier offers a partial trade credit period (up-stream trade credit) to the retailer and the retailer offers the same to his credit-risk customers (down-stream trade credit). The numerical results implies the reasonably higher price reduces the ordering quantity and ordering cycle time. It suggest to sell the product in small cycles. Price and credit period dependent demand and higher price increases the total profit per unit.