 1. Feasible solution
Non negative values of x_{ij} where i= 1, 2, … m and j = 1, 2, … n which satisfy the constraints of availability (supply) and requirement (demand) is called the feasible solution to the transportation problem.
 2. Basic feasible solution
It is the feasible solution that contains only m + n – 1 non negative allocation.
 3. Optimal solution
A feasible solution is said to be optimal solution when the transportation cost is minimum.
4.Matrix terminology
In the matrix used in transportation problem, the squares are called ‘cells’. These cells form ‘columns’ vertically and ‘row’ horizontally. Unit costs are written in the cells.
Warehouse


1 
2 
3 
4 
Plants 
A 
4 
2 
10 
3 

B 
6 
8 
7 
8 

Demand 
15 
7 
8 
12 
The cell located at intersection of row B and column 4 is the one in which the unit cost 5 is written as (B,4).
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