The modified distribution method is used to find the optimal solution in a transportation problem when the initial basic solution is obtained. It involves developing a ui+vj matrix for unallocated cells and subtracting cell values to get a cell evaluation matrix. The method is one of the two ways of giving optimality test, the other being the stepping stone method. Feasible solution and basic feasible solution are terms used in transportation problems, with the latter being a set of non-negative allocations equal to (m + n - 1) in an mn transportation problem