- 2080 Baisakh · 2 marks
Complete estimate: why and when
Short answer
A complete estimate includes all costs (land, building, services, furniture, design, contingency) to determine total financial commitment and avoid later supplementary demands. It is prepared at the project planning stage after detailed estimates, for large projects like hospitals or hostels, and when applying for loans or grants.
Why and when is a complete estimate prepared/used?
A complete estimate gives the total cost of a project, covering every cost needed to make it ready for use: land, building (civil) works, services, furniture and equipment, design and supervision, contingency and taxes.
Why it is prepared
- To know the full financial commitment, not only the construction cost, so the owner or donor can sanction the money.
- To avoid supplementary demands later, because nothing important is left out.
- To compare the cost of the project with its benefit and to arrange the finance.
When it is prepared
- At the project planning and approval stage, after the detailed estimates of the individual works are ready.
- For large projects such as hospitals, hostels, dams and water supply schemes where land, equipment and external works are included.
- When a loan or a grant is requested.
✓ Answer checked by Claude Opus 5.5 (high effort)
Related questions
- Components of complete estimate; abstract cost · Estimating and Costing, chapter 2
- Types of estimates and when prepared · Estimating and Costing, chapter 3 · asked 4×
- Approximate estimate: what and when · Estimating and Costing, chapter 3 · asked 6×
- Revised estimate: when and why · Estimating and Costing, chapter 3 · asked 3×
- Approaches to estimate pile capacity · Foundation Engineering, chapter 8