Estimate

Definition of Estimate

    To estimate is to find a number that is close to the exact answer.

Example of Estimate

    A pen costs $4.15. Estimate the cost of 5 such pens.
    $4.15 is closer to $4 than $5. So, the cost of 5 such pens would be about $20.

Video Examples: Estimating Sums and Differences


Solved Example on Estimate

Ques: Tim and his wife together earn $9,635 and spend $4,385 every month. Estimate the amount of money they save every month to the nearest thousand.

    Choices:
    A. $4,000
    B. $14,000
    C. $5,000
    D. $6,000
    Correct Answer: D

Solution:

    Step 1: Tim and his wife together earn $9,635 and spend $4,385 every month.
    Step 2: $9,635 rounded to the nearest thousand is $10,000.
    Step 3: $4,385 rounded to the nearest thousand is $4,000.
    Step 4: The amount they save every month
    = 10,000 4,000 = 6,000.
    Step 5: So, Tim and his wife save about $6,000 every month.

Real-world Connections for Estimate

    Many companies use estimating techniques to find out the cost of buying materials or machineries, the cost involved in manufacturing goods, etc. The process of estimation gives them a fair idea of the amount to be invested.