PRO RATED Meaning and
Definition
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The term "pro-rated" refers to the division, allocation, or calculation of something in proportion to a specific time frame or amount. It is typically used to determine a proportional share or allocation of a certain quantity, cost, or benefit based on a partial period or fractional amount.
In terms of finances, pro-rated is often used to apportion costs, fees, or payments based on the length of time during which a service or product was utilized. For example, if an annual subscription fee of $120 is required for a service, but a user only subscribes for six months, the pro-rated amount would be $60 (half of the full amount).
Similarly, pro-rated can also be used when calculating partial benefits or entitlements in situations where an individual is eligible for only a portion of the total benefit. For instance, if an employee is hired mid-month, their salary for that month would be pro-rated, considering the number of working days.
Additionally, pro-rated can be used in other contexts as well, such as when allocating a certain quantity or number of items based on a partial amount. For instance, if a limited number of tickets are available for purchase and a customer wants to buy five out of ten available tickets, the cost would be pro-rated based on the proportional amount of tickets purchased.
In summary, "pro-rated" refers to the calculation or allocation of something, be it costs, benefits, quantities, or entitlements, based on a partial or proportional amount or time frame.
Common Misspellings for PRO RATED
- pro rate
- prorated
- pro rated
- preo-rated
Etymology of PRO RATED
The term "pro rated" comes from the combination of two words: "pro" and "rate".
The word "pro" is a Latin preposition meaning "for" or "in favor of". It is commonly used in English to indicate support or favor towards something.
The word "rate" originates from the Old French word "rata", which means "fixed portion" or "proportion". It ultimately comes from the Latin word "ratus", meaning "reckoned" or "considered".
When these two words are combined, "pro rated" refers to the practice of calculating or adjusting something in proportionate or proportional parts. It typically involves the allocation of costs, charges, or benefits to ensure fairness or accuracy.
Similar spelling words for PRO RATED
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