What is estimate and purpose of estimate?

The purpose of an estimate has a different meaning to different people involved in the process. To the owner, it provides a reasonable, accurate idea of the costs. This will help him or her decide whether the work can be undertaken as proposed, needs to be modified, or should be abandoned.

What is estimation and purpose of estimation?

Estimation (or estimating) is the process of finding an estimate or approximation, which is a value that is usable for some purpose even if input data may be incomplete, uncertain, or unstable. The value is nonetheless usable because it is derived from the best information available.

What is the purpose of estimation?

The purpose of cost estimation is to give project stakeholders accurate information concerning the related project costs. It is easier to make lasting decisions if there is information to back them up. Cost estimation also gives clients value-aided options and helps clients minimize expenses.

What is the purpose of estimation and types?

Estimating and costing thus serves the number of purposes in the construction process including preparation and finalize of bids and cost control. The main purpose is to provide to volume of work for cost control and to see that the adequate options of materials are explored during the execution of the project.

What do you mean by an estimate?

1a : a rough or approximate calculation. b : a numerical value obtained from a statistical sample and assigned to a population parameter. 2 : a statement of the cost of work to be done. 3 : an opinion or judgment of the nature, character, or quality of a person or thing had a high estimate of his abilities.

What is purpose of estimate in civil engineering?

1) Purpose of Estimation

To ascertain the necessary amount of money required by the owner to complete the proposed project. For public construction works, estimates are required in order to obtain administrative approval, allotment of funds, and technical sanctions.

What is the difference between estimate and estimation?

An estimate is an approximate calculation or evaluation, and an estimation is the process of approximately calculating or evaluating. So an estimate is the result of estimation.

What are the methods to do a estimate?

Here are six common estimating methods in project management:

• Top-down estimate. …
• Bottom-up estimate. …
• Expert judgment. …
• Comparative or analogous estimation. …
• Parametric model estimating. …
• Three-point estimating.