A Markov model is a mathematical modeling technique derived from matrix algebra that describes the transitions a cohort of patients make among a finite number of mutually exclusive and exhaustive health states over a series of short intervals or cycles. In a Markov model, patients are always in one of the defined health states and events are modeled as transitions between states. The contribution of utility to overall prognosis depends on the length of time spent in each health state. Transition probabilities are used to represent the likelihood of moving between states in each cycle. An example Markov model was provided to demonstrate these concepts.