Classical EOQ models can help us decide on the terms of how much to order, to manage an inventory. Any company dealing with physical products needs to manage an inventory to improve and avoid shortages occurring. Many times the lots come with defective items due to which there is a loss in the effectiveness of the model. In the present study, we consider two types of carrying costs for good and defectives items, and also proportionate discount is being considered for defective items. We use the Pythagorean fuzzy environment (PFS) and analyze the score functions with help of cuts of the fuzzy parameters. The problem is optimized to get the best solution, utilizing Yager’s Ranking. The numerical results obtained from crisp and fuzzy environments are also compared. Lastly graphical and sensitivity illustrations are being used to justify the models. Manuscript profile