This note does not cover the theoretical and analytical rationale of the PAM in the perspective of policy formulation since the topic is largely covered by many other sources, but the document focus on the practical aspects of the analysis. This note intends to provide guidelines on the different steps that have to be followed to actually compute a PAM. The sign will be used to make reference to the manual written by Monke and Pearson, wherever relevant, so the reader can get more details and insight on the various steps of the method and its related implications for economic analysis. This document draws upon the expertise acquire in the framework of an FAO project providing assistance to the National Agricultural Policy Centre of the Syrian Ministry of Agriculture and Agrarian Reform. It also benefit from various subsectors analysis carried out in other countries, especially on the rice subsector in West Africa. The method presented hereafter is closely linked to an Excel spreadsheet format used to compute a PAM that has been initially developed by Tom Randolph at the West African Rice Development Association in consultation with economists from the former Food Research Institute at Stanford University. A separate guideline has been developed on the utilization of the spreadsheet itself.