reading forbes 400 about airbnb founders. the context is the following:
The airbnb founders’ net worths are down versus a year ago because Forbes is using a lower estimate of their ownership stakes.
asked Nov 23, 2018 at 22:44
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1 Answer
Since an estimate is an educated guess or calculated approximation of some metric, such a calculation will be bounded by upper & lower values based on the range of possible values for some parameters which affect the result.
Therefore, in your quote, the phrase "Forbes is using a lower estimate" essentially means that they are using an estimate at the lower end of the possible forecasted outcomes which have been calculated from the available data. Some might describe this as a 'conservative estimate'.
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so basically they can evaluate on upper or lower estimate. last year was on upper estimate now is on lower estimate. thank you very much I didnt know that Nov 23, 2018 at 23:06
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@THEGreatGatsby There is a common saying that statistics can be manipulated to show anything :-)– Lee MacNov 23, 2018 at 23:14