[Sample B: Approval/Signature Sheet] - George Mason University

The actual thresholds can be defined by the DM in order to establish the minimum
acceptable level of utility and the maximum acceptable cost. In this example, the best
region of the graph for an alternative to be is region 1 and the worst is region 4 (see fig.
45).
Utility
0.6
0.5
0.4
0.3
0.2
0.1
0
1 2
3 4
0 10 20 30 40 50 60 70
Million U$
Figure 45. Cost Effectiveness Regions.
In the hypothetical scenario, the alternative ASW is in the borderline between
region 1 and 2, thus it may or not meet the cost requirements if estimates vary enough.
The FTR alternative is the most expensive, but it also brings the largest contribution to
the BAF‘s operational capability. On the other hand, CGO is below the utility threshold
and is the second most expensive alternative, thus it should be one of the less preferred
by the DM. Finally, HLA and UAV are the only alternatives within region 1, but small
90