Estimate

To Estimate is to make an approximate judgment or calculation about the value, size, or amount of something. It involves using available information, experience, and often educated guesswork to arrive at a reasonable, though not necessarily precise, figure. An Estimate is crucial when complete accuracy isn't possible or necessary, frequently employed in planning, budgeting, and forecasting. The process relies on assessing various factors and making reasonable assumptions to derive a plausible outcome. Estimating can be a quick, informal process or a detailed, systematic one depending on the context and the level of precision required. The reliability of an Estimate is influenced by the quality of the data, the estimator's expertise, and the inherent uncertainty of the situation. It provides a basis for decision-making and can be adjusted as new information becomes available.

Estimate meaning with examples

• Before starting the home renovation, the contractor provided an Estimate of the total project cost. This preliminary figure allowed the homeowner to budget for materials, labor, and potential unexpected expenses. The homeowner could then compare the Estimate to other potential contractors to secure the best value before starting. This helped the homeowner evaluate and decide on the best course of action, ensuring the project's feasibility.
• The travel agency gave us an Estimate for our upcoming vacation, including flights, accommodation, and activities. The agency considered factors such as flight prices, hotel rates, and the cost of planned excursions to give the client a price. Using the Estimate as a guide the client was able to evaluate several packages that fit their needs, comparing it against competitor offers and adjusting the trip details based on the estimate's price range.
• During a construction project, the project manager regularly updated the cost Estimate to reflect changes in material prices, labor rates, and project scope. Throughout the construction, each change order affected the overall costs. This allowed them to monitor the project's financial performance and manage resources effectively. Using this updated information, the project manager could address potential issues that would impact the project, providing the client with a final product that met their expectations.
• The researcher needed to Estimate the population size of a rare bird species in a vast forest. By using sampling techniques and analyzing the data, they came up with an estimate. With these methods, the researcher was then able to present their findings to a government body. The government could use the Estimate to guide its conservation efforts, even though precision was nearly impossible due to the bird's location, and natural variation.