Degeneracy in the solution of a Transportation :
When the number of occupied cells in the solution of a Transportation Problem becomes less than m + n – 1 [where m = number of row and n = number of columns], the solution is known as a degenerate solution. [i.e. it cannot generate an optimum solution].
To resolve the degeneracy, we transfer Epsilon i.e. F quantity, In any of the non occupied cells in such a way that the occupied cells should be in an independent position i.e. occupied cells should not form a closed loop. Epsilon is a negligible quantity.