Prorated amounts are calculated by dividing the cost of a service by the number of days in the service period, according to Lucas Hall from Landlordology. The resulting number is then multiplied by the number of days the service is used to find the prorated amount.
Know MoreThe term "prorate" comes from the Latin "pro rata," which means "in proportion," according to Wikipedia. Prorated amounts typically apply to rent, insurance and other services that are paid for a specified time period. When an insurance policy is canceled, the prorated amount due is calculated by dividing the number of days used in the policy period by the total number of days for the policy. The result is multiplied by the policy premium to calculate the prorated amount due.
Learn more about Financial CalculationsProfit on return is calculated by subtracting a unit's selling price from the cost to produce, dividing that difference by the selling price and multiplying that number by 100. This equation gives the percentage margin of profit made on each unit.
Full Answer >The real Gross Domestic Product per person, or per capita, is calculated by first adjusting the nominal GDP of a country for inflation by dividing the nominal GDP by the deflator. The adjusted number, or real GDP, is then divided by the country's population.
Full Answer >Pain and suffering compensation is calculated by multiplying special damages by a certain factor or by using a daily rate for each day someone has lived with pain and suffering since an accident, according to AllLaw.com. These methods are used by insurance companies when attempting to settle an injury claim.
Full Answer >Real interest rate is calculated by adjusting for the effects of inflation when compared to the nominal interest rate. The calculation formula is simple, as it only requires subtracting the rate of inflation from the nominal interest rate. The value left after subtraction is the real interest rate.
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