Wedding cost estimation
Wedding cost estimation: Given the following information, calculate the estimated costs for a wedding with 250 guests and a bridal party of six, using the methods indicated. Show your work.
Note that members of the bridal party are already counted as guests, you don’t need to add them twice.
- Parametric estimate
- Bottom-up estimate
- Analogous cost estimate
- You will probably notice some differences in the estimated values. Are these differences significant? What might cause the differences? If you were estimating a significant project in the future, which method(s) would you use and why?
|Wedding Cost Estimates|
|Groom’s brother’s wedding, last year, 175 guests, similar venue and style||$20,300|
|Catering||$65 per person|
|Rental of hall||$500|
|Other décor items||$500|
|Gifts for bridal party||$80 each|
|Wedding planner’s estimate of typical cost for this kind of wedding||$10,000 plus $75 per guest|