North West Corner Rule for Initial Solution: Now by applying North West corner rule we can initial solution. According to this rule without regard to cost consideration the assignment is made from the available supply at first supply source ( warehouse A in our example) filling the demand from stores one at a time in order starting at the top left corner until the supply is exhausted. The supplies from the second supply source are then made to next stores and the process goes on until the demands of the stores are met. Following this N. W corner rule we have the following initial solution for above problem.