Computation for Unused Service
Jannine Batac
Posted at May 16, 2022 02:05 pm. Last updated at May 16, 2022 02:05 pm
The procedure is calculated using weeks not months as months is too big of a period and sometimes the start and end dates do not align with months, so the procedure is:
Annual fee divided by 52 weeks
Result multiplied by 1.2 to add 20% to the original number
Result multiplied by the number of weeks from the renewal date to the cancellation date.
Each answer should be rounded to the nearest whole cent (4 and under rounds down, 5 and over rounds up).
Example:
If the annual fee is $599 and they want the service for 17 weeks from the renewal invoice date till the closest date to the cancellation without going over, the sum would be:
$599/52=$11.52
$11.52x1.2=$13.82
$13.82x17=$234.94
Rounded up to the nearest dollar the price would be $235.
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