How is It Calculated?
As the number of days in a month varies, it’s most accurate to first calculate the yearly rate and then divide it by 12 to get the monthly rate. Specifically, you would multiply the daily rent rate by 365 (since there are 365 days in a year), which gives you the annual rent. You then divide this annual rent by 12 to get the monthly rate. This approach accounts for the fact that the number of days in a month is not fixed. The formula can be expressed as: Monthly Rent = (Daily Rent * 365) / 12. Using this conversion method provides a precise figure for monthly rent that accounts for all days in the year. Note that this approach does not account for leap years, which have 366 days. If you want to be very precise, you could use 365.25 as the multiplier to account for leap years.
