---
title: "Stages of project estimate"
subject: "Estimating and Costing"
chapter: 5
key: "semester_7/estimating_and_costing:stages-project-estimate"
source: https://www.bctengineer.com/q/semester_7/estimating_and_costing/stages-project-estimate
site: BCT Engineering
---

# Stages of project estimate

Estimating and Costing · Chapter 5: Project Estimate

- Asked in: 2080 Baisakh, 4 marks
- Video: [Part 19 ! Estimating and Costing ! Detailed estimate ! Rough cost estimate ! Types of estimate ! SSC](https://www.youtube.com/watch?v=0vU2E4GznJk) — NARAYANA COACHING CLASSES
- Answer checked by Claude Opus 5.5 (high effort) on 2026-10-14
- Page: https://www.bctengineer.com/q/semester_7/estimating_and_costing/stages-project-estimate
- Whole chapter: https://www.bctengineer.com/md/semester_7/estimating_and_costing/chapter-5

## Question

Describe the different stages of project estimate.

## Short answer

Estimate stages progress from preliminary approximate cost to detailed accuracy: identification, survey and investigation, design and drawings, quantity calculation, rate analysis, detailed estimate and abstract of cost, report preparation, then approval and tendering. Revised or supplementary estimates cover later changes.

## Answer

A project estimate is prepared in steps, each making the cost more accurate than the last.

1. **Identification (preliminary/approximate estimate):** the need for the project is established and a rough cost is obtained from the plinth-area rate, cost per km, or the cost of a similar project. This is used for the feasibility decision and budget allocation.
2. **Survey and investigation:** topography, soil, geology, hydrology and traffic data are collected to decide the layout.
3. **Design and drawings:** the project is designed, and detailed drawings and specifications are prepared.
4. **Quantity calculation:** the quantity of each item is measured from the drawings and entered in a bill of quantities.
5. **Rate analysis:** the rates of items are fixed from norms, material and labour rates, lead and lift, transport, overhead and profit.
6. **Detailed estimate and abstract of cost:** the cost of each item is calculated and the costs are added; contingency, supervision, escalation and VAT are included.
7. **Preparation of the report:** the estimate report with drawings, specifications, calculations and rate analysis is written.
8. **Approval and tendering:** the competent authority approves the estimate, and it becomes the basis for tender evaluation. Later, revised or supplementary estimates cover changes during construction.

## Check yourself

The answer's key points as multiple-choice questions, with the correct option and why.

1. On what basis is the first, approximate estimate made?
   A. Item-wise quantities from drawings
   B. Plinth-area rate, cost per km or cost of a similar project
   C. Tender prices
   D. Actual completion cost
   Answer: B. It is a rough cost for feasibility and budget allocation. (Key point: Preliminary estimate)

2. When is quantity of each item measured?
   A. Before survey
   B. After tendering is over
   C. After design and drawings are ready, from the drawings
   D. Only after completion
   Answer: C. Quantities need drawings. (Key point: Quantity calculation)

3. What does rate analysis use?
   A. Only the market price of cement
   B. Only the labour rate
   C. The tender evaluation report
   D. Norms, material and labour rates, lead and lift, transport, overhead and profit
   Answer: D. These make up the unit rate. (Key point: Rate analysis)

## Related in Estimating and Costing

- [Project, characteristics, stages of estimate](https://www.bctengineer.com/question.md?key=semester_7%2Festimating_and_costing%3Aproject-characteristics-stages) — Estimating and Costing, chapter 5
- [Define project; irrigation project estimate](https://www.bctengineer.com/question.md?key=semester_7%2Festimating_and_costing%3Aproject-irrigation-estimate) — Estimating and Costing, chapter 5, asked 4×
- [Tasks in preparing building project estimate](https://www.bctengineer.com/question.md?key=semester_7%2Festimating_and_costing%3Aworks-considered-building-project-estimate) — Estimating and Costing, chapter 5, asked 2×
- [Detail estimate report for sewerage project](https://www.bctengineer.com/question.md?key=semester_7%2Festimating_and_costing%3Aestimate-report-sewerage) — Estimating and Costing, chapter 5, asked 2×
- [Requisites of project estimate; factors](https://www.bctengineer.com/question.md?key=semester_7%2Festimating_and_costing%3Arequisites-project-estimate-factors) — Estimating and Costing, chapter 5
- [Project estimate: preparation and reports](https://www.bctengineer.com/question.md?key=semester_7%2Festimating_and_costing%3Aproject-estimate-reports) — Estimating and Costing, chapter 5

## Related in other subjects

- [Stages of hydropower project study](https://www.bctengineer.com/question.md?key=semester_6%2Fhydro_power%3Ahydropower-study-stages) — Hydro Power, chapter 3, asked 3×
- [Study stages for 10 MW remote project](https://www.bctengineer.com/question.md?key=semester_7%2Fhydropower_engineering%3Asmall-10mw-study-stages) — Hydropower Engineering, chapter 2
- [Planning stages and field investigations](https://www.bctengineer.com/question.md?key=semester_7%2Fhydropower_engineering%3Aplanning-stages-field-investigations) — Hydropower Engineering, chapter 2