Dhaktode Shrikant.

INDEX

Sr. No Title Page

no.
1 Introduction 4
2 Approximate estimate
3 Method's approximate estimate 5
4 Approximate Estimate for school building 8
5 Approximate estimate of auditorium hall 9
6 Approximate estimate for hospital building 11
7 Approximate estimate for hostel building 12
8 Purpose of approximate estimate 13
9 Conclusion 14
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 Dhaktode Shrikant. R

INTRODUCTION:
An estimate is a calculation of the quantities of various items of work, and the expenses likely to be incurred thereon.
The total of these probable expenses to be incurred on the work is known as estimated cost of the work. The
estimated cost of a work is a close approximation of its actual cost. The agreement of the estimated cost with the
actual cost will depend on accurate use of estimating methods and correct visualization of the work, as it will be done.
Importance of correct estimating is obvious. Under-estimating may result in the client getting an unpleasant shock
when tenders are opened and drastically modifying or abandoning the work at that stage. Over-estimating may lose
the engineer or estimator his client or his job, or in any case his confidence.

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Dhaktode Shrikant. R
 Dhaktode Shrikant. R

Approximate estimate:
The approximate estimate is done in order to find out an approximate cost in very short time before starting the project. The
estimation is made before selecting the final specification and design of the project. This method is also known as preliminary or
rough estimate.

Purpose of approximate estimate:

1. To evaluate the cost of a project in short time.

2. To evaluate the difference between several options.

3. To check the final cost of the project that is calculated by detailed estimation.

• Methods of Approximate Estimate:

A. Plinth Area Method:

This estimation is done by selecting the price of 1 square meter area of a building. It is mainly adopted for calculating the cost of
following buildings:

Office Buildings.
Residential Buildings.
School Buildings.
• Apartment/Flat Buildings. Hospitals.

This method is considered as the best method for calculating the cost of new buildings.

In case of multi-storeyed buildings, the following assumptions are to be considered for the estimation.

1. For 1 square meter area, the cost of all the floors with basement and roof are in equal costs.

2. The cost of the basement is 60% of the floor.

3. The cost of the roof is 40% of the floors.

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B. Cubic Meter Method:

This method gives more exact result comparatively than the square meter method.

1. For 1 meter cube area the costs of all floors are equal in costs.

2. The cost of the basement is 60% of the cost of different floors.

The volume of the floor is determined as

Volume = Area x Height of one floor

The height of one floor is found out by the following guidelines:

1. Ground Floor: The height of ground floor is calculated from the top of the footing to the middle of the parapet.

2. First Floor: The height of the first floor is calculated from the ground rooftop to the middle of the parapet.

3. Other Floor: The heights of other floors are calculated from floor to floor.

Besides these methods, there are some other approximate methods such as

1. Cost comparison method.

2. Unit rate method.

3. Approximate quantities with bill method.

4. Bay method.

5. The cost of materials and labour method.

C. Typical Bay Method

This method is useful for application to framed structures consisting of a number of similar bays, as for example, industrial
buildings. A typical interior bay (between two successive columns) is selected and its total cost worked out.
Then, the approximate cost of building = Number of bays in the building x cost of one bay.

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Suitable correction factors may have to be used to take into account the dissimilarities in endbay (and in different floo rs, if
applied to multi storey construction). D. Approximate Quantity Method Cost Estimate

In approximate quantity method cost estimate, Total wall length of the structure is measured and this length is multiplied by the
rate per running meter which gives the cost of the building. Rate per running meter is calculated separately for foundation and
superstructure.

In case of foundation, the rate per running meter is decided by considering quantities such as excavation cost, brickwork cost up to
plinth. While in case of superstructure quantities like brickwork for the wall, wood works, floor finishing etc. are considered for
deciding rate per running meter.

E. The Service Unit Method

Buildings are constructed to serve a specific purpose. For example hospitals are designed to accommodate certain number of beds.
Each bed is then considered a service unit. Hotels are designed to accommodate certain number of guest rooms. Each guest room
is considered a service unit. Same applies to offices, residential houses etc. Whenever a building is constructed the Engineer or the
architect keeps the record of the place, actual cost, number of service units, and the year of construction. From this record, it is
possible to work out the cost per service unit. This cost is then adjusted to account for inflation, and peculiarities of the project
under consideration. Then the adjusted cost per service unit is simply multiplied by the number of service units in the proposed
project to get an approximate cost estimate.

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Examples
1. Estimate for School building
1) The cost of construction of school building is 2.50 crores for a capacity of 600 students and area of construction is 1600
mA2. Prepare approximate estimate of newly proposed school building for 1500 students with the area of 5000 mA2. Use
Plinth Area method

Solution:

Rate of Plinth Area of existing school building= 25000000+1600

= 15625Rs/mA2

Then,

The approximate cost of newly proposed school building Plinth

= Total plinth Area of proposed building X Cost per area of similar existing building

= 15625 x 50000
= 7.8125 crores

2) The cost of construction of school building is 4 crores for a capacity of 1200 students and area of construction is 3200 rnA2.
Prepare approximate estimate of newly proposed school building for 3000 students with the area of 1000mA2. Use Plinth Area
method Solution:

Rate of Plinth Area of existing school building= 40000000+3200

= 12500Rs/mA2

Then, The approximate cost of newly proposed school building Plinth

= Total plinth Area of proposed building X Cost per area of similar existing building

= 12500 x 10000
= 125000000 crores

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2. Approximate Estimate for Auditorium Hall

1) Prepare approximate of Auditorium Hall building having Plinth Area 1500 mA2.

Plinth Area rate — 4000Rs per mA2

 Water supply and sanitary installation — 5% of cost of building
 Electric installation — 10% of cost of building
 Other services — 5% of cost of building
 Contingencies — 3% of overall cost of building
 Supervision charges — 8% of overall cost of building

Solution:

Cost of Auditorium Hall = plinth Area X Rate = 1500mA2 X

4000Rs
= 6000000

Cost of water supply and sanitation installation= (5+100) x 6000000

= 300000

Electric installation= (10+100) x 6000000

= 600000

Other services= (5+100) x 6000000

= 300000

Contingencies= (3+100) X [60 lakh+ 3 lakh + 6 lakh + 3 lakh]

= 0.03 X 72 lakh

= 216000 (2 lakh 16 thousand)

Supervision charge= (8+100) X 72 lakh

= 576000

Approximate estimate of town hall = 72 lakh + 2 lakh 16 thousand + 5 lakh 76 thousand = 79.92 lakh

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2) Prepare approximate of Auditorium Hall building having Plinth Area 2200 mA2.

Plinth Area rate — 3500Rs per mA2

Water supply and sanitary installation — 3 % of cost of building

Electric installation — 8 % of cost of building Other services —5%

of cost of building

Contingencies — 2 % of overall cost of building

Super vision charges — 4 % of overall cost of building

Solution:

Cost of Auditorium Hall = plinth Area X Rate

= 2200 X 3500Rs
= 7700000

Cost of water supply and sanitation installation= (3+100) x 7700000

= 231000

Electric installation= (8+100) x 7700000

= 616000

Other services= (5+100) x 7700000

= 385000

Contingencies= (2+100) x [7700000+231000 + 616000 + 385000]

= 178640

Supervision charge= (4 +100) x 178640

= 71456

Approximate estimate of Auditorium Hall= 8932000 + 178640 + 71456

= 9182096 Lakh
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3. Approximate Estimate for Hospital building

1) A hospital building of 150 beds is constructed in Talegoan the cost of construction of RS 5 crore. Find the approximate
Estimate of a small hospital of 35 beds in the similar locality by using service unit method

Solution:

Rate per service unit= (cost of construction* number of beds)

= 50000000 150

= Rs 333333.33 per bed

Approximate cost of newly proposed hospital of 35 beds = Number of beds X

Rate per bed

= 35 x 333333.33
= RS.11666666.66

2) A hospital building of 200 beds is constructed in Pune the cost of construction of RS 7 crore. Find the approximate Estimate
of a small hospital of 45 beds in the similar locality by using service unit method

Solution:

Rate per service unit= (cost of construction* number of beds)

= 70000000 + 200
= Rs.350000 per bed

Approximate cost of newly proposed hospital of 35 beds

= Number of beds X Rate per bed

= 45 x 350000
= Rs.15750000

approximate estimate of a newly proposed hostel building of 250 students in the similar
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4. Approximate Estimate for hostel building

I) A hostel building for 150 students is constructed in Pune the cost of construction is RS 6 crore. Find the locality by using
service unit method

Solution:

Rate per service unit= (cost of construction* number of students)

= 60000000 + 150

= RS.400000

Approximate cost of newly proposed hostel building for 250 students = Number of students X

Rate per student

= 250 x 400000

= RS IOOOOOOOO

2) A hostel building for 200 students is constructed in Pune the cost of construction is RS 8 crore. Find the approximate estimate
of a newly proposed hostel building of 300 students in the similar locality by using service unit method

Solution:

Rate per service unit= (cost of construction* number of students)

= 80000000 + 200
= 400000

Approximate cost of newly proposed hostel building for 300 students

= Number of students X Rate per student

= 300 x 400000

= RS.120000000

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Purpose:
Purpose of Estimating:
To give a reasonably accurate idea of the cost
An estimate is necessary to give the owner a reasonably accurate idea of the cost to help him decide whether the works can be
undertaken as proposed or needs to be curtailed or abandoned, depending upon the availability of funds and prospective direct
and indirect benefits. For government works proper sanction has to be obtained for allocating the required amount. Works are
often let on a lump sum basis, in which case the Estimator must be in a position to know exactly how much expenditure he is going
to incur on them 1. Estimating Materials

From the estimate of a work it is possible to determine what materials and in what quantities will be required for the works so that
the arrangements to procure them can be made.

2. Estimating Labor
The number and kind of workers of different categories who will have to be employed to complete the work in the specified time
can be found from the estimate.

3. Estimating Plant
An estimate will help in determining amount and kind of equipment needed to complete the work.

4. Estimating Time
The estimate of a work and the past experience enable one to estimate quite closely the length of time required to complete an
item of work or the work as a whole.
Whereas the importance of knowing the probable cost needs no emphasis, estimating materials, labor, plant and time is immensely
useful in planning and execution of any work.

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Conclusion:

This guidance is provided to support the preparation and revision of approximate estimates, with the intent of ensuring that the
approximate estimates provide a useful project management tool. Nevertheless, judgment must be applied when preparing project
approximate estimates and specialist guidance should be sought where necessary—for instance, in identifying project cost
categories, or determining appropriate physical and price contingencies.
The above methods are useful in preparing approximate estimate for any type of work.

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Dhaktode Shrikant. R