Estimation question

Estimate the amount of gasoline consumed in 24 hours a day.

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What this question tests

Whether the candidate can build a clean top-down estimate using population, vehicle ownership, and average consumption assumptions.

How to approach it

  1. State the scope: assume US gasoline consumption unless told otherwise, and confirm that with the interviewer.
  2. Estimate the number of registered gasoline vehicles, for example roughly 250 million in the US, as a stated assumption.
  3. Assume an average of 25 miles driven per vehicle per day and 25 miles per gallon fuel efficiency.
  4. Multiply: 250 million vehicles times 1 gallon per day (25 miles divided by 25 mpg) gives roughly 250 million gallons per day.
  5. Sanity check against a known figure, noting that real US daily consumption is around 350 to 370 million gallons, and adjust assumptions if asked to refine.

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