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Simplified and by way of example pro rata can be calculated as follows: Assume you have three contributing "pools," A, B and C. A contains $1,200,000.00

B contains $159,000.00

C contains $300,000.00 Now assume an "assessment" of $88,000.00 for which the three pools are obligated to pay on a pro rata share based on the pool value A's share will be ((A value) / (total value of all pools)) x (assessment)

($1,200,000 / ($1,200,000 + $159,000 + $300,000)) x $88,000

($1,200,00 / $1,659,000) x $88,000 .7233273 x $88,000 = $63,652.80

Take the dollar amount of each mutual/stocks ÷ by total market value × client requested dollar amount. Your client calls requesting $10000 from his account. He has 8 mutual funds in the account with a total value of $30806.44. Example: Fund # 1. Has $4233.69 ÷ 30806.44 (which is the total value of all the mutual funds) then × $10000.00 (requested amount). You would do this for each remaining mutual fund in the account.

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Sample questions pro-rata?

can you please explain to me what pro-rata means regarding my holiday entitlement


What is a pro rata payment?

A pro rata payment is a proportional allocation of a total amount based on the share or portion owed to an individual or entity. It is commonly used in situations such as salaries, dividends, or billing, where the payment is calculated based on the time worked, services rendered, or the stake held. For example, if an employee works part of a pay period, their salary may be calculated on a pro rata basis to reflect only the days worked.


What does pro rata basis mean?

It means in direct proportion.


What does pa pro rata mean?

"Pro rata" is a Latin term meaning "in proportion" or "proportionately." It is commonly used in finance and business to describe the allocation of expenses, revenues, or benefits based on a specific ratio or percentage relative to the whole. For example, if an employee works a fraction of the year, their salary might be calculated on a pro rata basis, reflecting only the portion of the year they worked.


What is pro rata allotment?

Pro rata allotment refers to the distribution of resources or shares in proportion to the amount each party is entitled to based on their existing holdings or contributions. For example, in a stock offering, if a shareholder is entitled to a certain number of shares based on their current ownership, a pro rata allotment ensures they receive shares in alignment with that entitlement. This method helps maintain fairness and balance among participants, especially when demand exceeds supply.

Related Questions

What is Non Pro Rata Distribution?

To cause any share to be composed of property different in kind from any other share and to make pro rata and non pro rata distributions


How do you calculate pro rate bonus?

To calculate pro rata bonus percentages you need to determine how you want to prorate the amount and how much you need to prorate. Online pro rata calculators are the easiest way to calculate percentages.


How do you calculate a pro rata investment?

To calculate a pro rata investment, divide the amount of money you are investing by the total amount being invested, then multiply that fraction by the total value of the investment. This will give you the proportional amount of the investment that you own.


Allotment of shares on pro rata basis?

Pro - rata allotment of shares is opted by the Company when there is an over-subscription. The excess application money is adjusted towards the sum due on allotment. We calculate the amount of Pro - rata in the following way: Suppose X Ltd invited applications for 1,00,000 shares and received applications for 1,50,000 shares. In this case the pro - rata is calculated as 1,50,000/1,00,000 = 3:2. Hence the Pro - rata is 3:2.


What affects pro rata share?

Pro rata share is affected by several factors, including the total number of shares outstanding, the amount of capital being raised, and the ownership percentage of existing shareholders. Changes in the company's valuation or new investment rounds can also influence pro rata rights, as they determine how much existing shareholders can invest to maintain their ownership stake. Additionally, the terms set forth in investment agreements can dictate the specifics of pro rata allocations.


Sample questions pro-rata?

can you please explain to me what pro-rata means regarding my holiday entitlement


What is prorata basis?

In means 'in proportion'. For example, if money is given out pro rata, every one gets an equal share


What is the purpose of a pro rata salary?

A pro rata salary means you are earning a percentage of that yearly salary. For example if your pro rata salary was $16k and you worked 50% of full time hours you would earn $8k.


What is the treatment of proposed dividend?

A dividend is a stockhder's share of the profits from the company. This is paid pro-rata to the stockholders in either cash or more shares.


What is pro rata allotment of shares?

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What is Pro-rata allotment of shares?

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What does 'pro-rata' mean?

It's two words, and means 'in proportion'. If twenty sausages cost £10 then you'd pro rata to find the cost of 123 of them