Apportion: Difference between revisions
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To allocate a money amount on a time basis. | To allocate a money amount on a time basis. | ||
'''Example''' | |||
Total profits of EUR 100,000 | |||
for a period of one year (365 days) | |||
consisting of a one month (30 days) period and | |||
an 11 months (335 days) period | |||
would be time-apportioned as follows: | |||
One-month period: | |||
100,000 x 30 / 365 | |||
= EUR 8,219 | = EUR 8,219 | ||
11 months period: | 11-months period: | ||
100,000 x 335 / 365 | |||
= EUR 91,781 | = EUR 91,781 | ||
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To allocate a money amount on any other systematic basis. | To allocate a money amount on any other systematic basis. | ||
For example, to allocate the total costs of a shared building on the basis of floor areas. | For example, to allocate the total costs of a shared building on the basis of floor areas. | ||
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3. | 3. | ||
To allocate any amount on | To allocate any amount on any systematic basis. | ||
== See also == | == See also == | ||
* [[Time-apportion]] | * [[Time-apportion]] | ||
[[Category:The_business_context]] | |||
[[Category:Liquidity_management]] |
Latest revision as of 14:57, 8 October 2020
1.
To allocate a money amount on a time basis.
Example
Total profits of EUR 100,000
for a period of one year (365 days)
consisting of a one month (30 days) period and
an 11 months (335 days) period
would be time-apportioned as follows:
One-month period:
100,000 x 30 / 365
= EUR 8,219
11-months period:
100,000 x 335 / 365
= EUR 91,781
(This is also known as 'time-apportionment'.)
2.
To allocate a money amount on any other systematic basis.
For example, to allocate the total costs of a shared building on the basis of floor areas.
3.
To allocate any amount on any systematic basis.