In this paper an EOQ model is studied in which the stationary demand can be satisfied by newly made products and by repaired used products. This model assumes that the used products are collected and later repaired at some rate and the other products might be disposed outside according to some waste disposal rate. This model extends previous studies to the case of variable setup numbers n and m for production and repair within some variable collection time interval. The behavior of the setup numbers, the length of the collection interval and the minimum cost regarded as function of the waste disposal rate is discussed.