Prorate: meaning, definitions and examples
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prorate
[ ˈproʊreɪt ]
financial calculation
To prorate means to allocate or distribute an amount of something proportionally, based on a certain criterion. It is commonly used in finance and accounting to apportion costs, expenses, or income over a specified period of time or to a specific number of people. For instance, if a service is used sporadically, the total costs may be prorated based on usage. This helps in achieving a fair pricing model where each party pays only for what they consume.
Synonyms
Examples of usage
- We need to prorate the rent for the partial month.
- The company decided to prorate the commission for the first quarter.
- Employees will have their salaries prorated if they join mid-month.
Translations
Translations of the word "prorate" in other languages:
🇵🇹 proporcional
🇮🇳 अनुपात से निर्धारित करना
🇩🇪 proportional verteilen
🇮🇩 menghitung secara proporsional
🇺🇦 пропорційно розподілити
🇵🇱 proporcjonalnie podzielić
🇯🇵 按比例分配する
🇫🇷 proratiser
🇪🇸 prorratear
🇹🇷 oranına göre dağıtmak
🇰🇷 비율에 따라 나누다
🇸🇦 تقسيم نسبي
🇨🇿 proporčně rozdělit
🇸🇰 proporčne rozdeliť
🇨🇳 按比例分配
🇸🇮 proporcionalno razdeliti
🇮🇸 hlutfallslegur
🇰🇿 пропорционалды бөлу
🇬🇪 პროპორციულად გაწვდილი
🇦🇿 nisbətən bölmək
🇲🇽 prorratear
Etymology
The term 'prorate' is derived from the Latin word 'prorata,' which translates to 'on the basis of the proportion.' It first entered the English language in the early 19th century, contextualized primarily in the realm of finance and taxation. The concept evolved as commerce and trade became more complex, requiring fair distribution methods for costs, taxes, and profits. Over the years, prorating has found applications across various sectors, including real estate, payroll, and telecommunications, reflecting a growing need for just financial practices. Its use has expanded to encompass various contexts where proportional allocation is needed.