In this work a 2D model for simulating an applied-field magnetoplasmadynamic (AF-MPD) thruster with a hollow cathode made of thoriated tungsten was constructed using Comsol Multiphysics. The model allowed for self-consistent description of plasma processes inside an ionization chamber in the thruster and heating of the cathode due to ion bombardment. The distribution of such discharge parameters as charged and excited particle densities, charged particles’ mean energies and temperatures, gas temperature, cathode temperature, and electric potential were obtained. Numerical experiments were carried out for different geometries and optimal configuration of AFMPD thruster with a hollow cathode was obtained.