A simulation apparatus includes a storing unit that stores therein information about a shape of a blank piece to be cut out from raw wood, information about a final shape of a wooden piece obtained by compressing the blank piece, and image data of a surface of the blank piece. The apparatus also includes detecting unit that detects a knot appearing on the surface of the blank piece by image recognition using the image data; a shape estimating unit that estimates a shape of the detected knot using shape information on the blank piece; and a determining unit that determines, in accordance with the shape of the estimated knot, a cutting location and a cutting shape of the blank piece in such a manner that the cutting location and shape include a part and a thickness of the knot is substantially the same as that of the compressed blank piece.