and now we will learn how to create estimates  the main contract estimate shows the details  

of each product or service provided on a project  or job the estimates information comes from the  

contract then it helps you track the progress of  that contract you must activate estimates in the  

Preferences window if you don't you will not be  able to enter estimates or see any of the reports  

that are there in this file estimates have not  yet been activated if you click the customer pull  

down menu you will not see a choice to create  estimates the same is true for the reports main  

menu under jobs time and mileage where all of the  estimate reports usually are notice if you click  

reports jobs time and mileage you will not see  any reports for estimates because in this file  

the estimates have not been activated if you  want to activate the estimates you have to open  

the Preferences window from the main menu click  Edit preferences the choice on the left in the  

Preferences window is jobs and estimates and then  click company preference now it says here do you  

create estimates we will click yes we will not yet  not yet touch these two buttons here on the right  

for now just click the yes then click OK you will  notice your file has changed now when you click  

customers from the main menu there is a choice  to create estimates because you just activated  

it you should also look at the reports main menu  under jobs time and mount mileage and now you can  

estimates in the Preferences window the first  report that we will work with regarding estimates  

is the estimates by job report that's because it  shows every estimate ever entered into the file  

that has not yet been deleted from the main menu  click reports jobs time and mileage estimates by  

job right now there are nothing make sure the date  pulldown menu says all regardless of date so right  

now there are no estimates in the file but we do  need this report right after we make our first  

estimates so at the moment this report window  is the active window we go to the top left of  

the main menu and click view add estimates by job  to the icon bar click OK and now we have ourselves  

a shortcut to one of the main estimate reports  before we record our first estimate you should  

know that estimates are not transactions they  will not affect the customers balance regarding  

how much they owe they will not affect the trial  balance chart of accounts or general ledger they  

will not show in the journal but they will show  up on the audit trail report and they have their  

own special reports like the one we just pinned  to the top of the icon bar so example 1 January  

1 we made estimate number one for the Hanson Place  job under Brown company the items on the estimate  

are 25 units of carpentry at $60 each 25 units of  electrical work at $80 each 25 replacement parts  

at $75 each and 25 units of steam cleaning  at $55 each and we can refer back to this as  

we record the estimate from the main menu click  customers create estimates notice estimate number  

one should come up first however mine came up as  estimate number two because I was practicing with  

creating estimates choose the job the customer is  brown and the specific job is Hanson place date  

of the estimate is January 1 and we will assume  that's January 1 of 2017 now the items we will  

read from the sheet a moment ago its carpentry  electrical replacement parts and steam cleaning  

carpentry replacement Pirkle replacement parts  and steam cleaning now the quantity of each was 25

now the cost per item will have the read  off here 60 80 75 and 55 so $60 each

push the tab key on your keyboard click OK for  the price level warning $80 each just keep hitting  

tab on your keyboard what were the remaining  two seventy-five and fifty five $75 each and  

fifty-five okay now we have all the information  we need for our first estimate we click Save  

and close and when we open the estimates by  job report we see the estimate is here the  

estimate is active here is the total amount and  we could always double click go back and look  

at the estimate and we could change anything  we need let's try a second example January 2  

we made estimate number two for the Mockingbird  Lane job under the same company Brown company  

its twenty five units of four different items  and these are different items that were on you  

know different from the previous estimate  let's make them the same way from the main  

menu well a few click save and close for this  one from the main menu click customers create  

estimate of course it's still brown company but  this time it's Mockingbird Lane the date on the  

second estimate is January two and the items  are as follows D winterizing Mason work so  

let's choose D winterizing and Mason work and  now let's choose replacement types not parts  

and steam-cleaning replacement pipes and steam  cleaning and the quantity is 25 for each of them

and the unit cost for each is as  follows let's just read it off the  

sheet 65 85 70 and 50 so we have 65 85 70 and 50

okay now we have another estimate its estimate  number 2 on January 2nd and even though it's  

the same company it's still under its  it's a different job it's Mockingbird  

Lane when we click Save and close we  can check it in estimates by job under  

Brown company the Hanson place estimate  has SiC has an estimate of six thousand  

seven hundred fifty and the Mockingbird Lane  job has an estimate for six thousand seven