Estimating Practice Exam

Which of the following estimating methods is less accurate than single-rate methods?

1. Assembly method

2. Multi-rate method

3. Price per unit method

4. Price per unit area method

The correct answer is: Assembly method

The assembly method is generally considered less accurate than single-rate methods because it relies on predefined assemblies of work items rather than estimating costs and rates for each individual task. In the assembly method, costs are aggregated based on typical work groups, which can lead to generalized figures that may not reflect the specific conditions or variations present in a given project. Single-rate methods, on the other hand, provide a more detailed approach by applying a consistent rate to various tasks or resources. This allows for greater flexibility and precision, as each unit of work can be individually assessed based on the specific circumstances of the project. This granularity in estimating helps capture unique project details, resulting in potentially more accurate cost predictions. The other methods listed, such as multi-rate, price per unit, or price per unit area methods, typically offer their own advantages in various situations. For example, the multi-rate method allows for different rates based on varying project conditions, while price per unit methods focus on a more straightforward calculation based on measurable aspects. All these methods generally retain a level of accuracy that the assembly method may not achieve when specificity is crucial.