Count the calendar period exactly once

Short answer: For an annual calendar-day proration, daily rate equals annual amount divided by 365 in a nonleap year or 366 in a leap year when that convention is stated. Multiply the unrounded daily rate by the party's actual responsible calendar days. Determine closing-day ownership before counting. In a nonleap year, month-end cumulative totals are 31, 59, 90, 120, 151, 181, 212, 243, 273, 304, 334, and 365; add one from February onward in a leap year. For a monthly actual-day item, divide by the actual days in that month rather than the annual denominator. A period crossing December 31 may require separate yearly or billing-period segments when leap status or the annual amount changes. After finding the share, identify whether the item is accrued, prepaid, collected, or held and assign balanced debits and credits. Count the period a second way and round the final money result, not the daily rate, unless instructed otherwise.

Calendar-day examples are simplified exam exercises. Actual contracts and settlement instructions determine closing-day ownership, applicable period, tax factor, estimated bill, reproration, prepaid-item treatment, and payer allocation. Illinois property taxes are generally handled through an in-arrears cycle, but a particular closing can use negotiated estimates and adjustments. Rent, association charges, utilities, interest, and insurance can have different billing periods and governing documents. A tenant security deposit is not automatically earned rent and may transfer as a held liability under separate legal duties. Federal disclosure rules address presentation for covered loans without dictating every substantive allocation. This page is exam preparation, not legal, tax, property-management, or closing advice. Sources were checked through August 1, 2026.

1. Identify the full-period amount, billing period, due status, requested party, and requested settlement entry.
2. Confirm the year, leap status, actual-day convention, and which party owns or benefits on closing day.
3. Write the responsible start and end dates and count actual days month by month or through cumulative day numbers.
4. Divide an annual amount by 365 or 366, or divide a monthly amount by that month's actual number of days.
5. Multiply the unrounded daily rate by the responsible days and round only the final amount as instructed.
6. Identify accrued, prepaid, collected, or held status before deciding seller and buyer debit-credit direction.
7. Count the other party's period independently or use a valid full-period complement to confirm no missing or duplicated calendar day remains.
8. State the amount, party, entry, date convention, and any estimated or simplified qualifier in the final answer at closing.

These questions are original study items aligned to the published outline. They are not copied, recalled, or predicted PSI questions.

Do not count recognition as mastery. Close the notes and explain the rule, apply it to a new fact pattern, and identify why each distractor fails.

• Study the full proration formula
• Compare day-count conventions
• Review prorations and settlement entries
• Practice randomized calendar prorations

• PSI Illinois Candidate Information Booklet dated June 24, 2026
• Illinois Department of Revenue, current seller property-tax responsibility at closing
• Illinois Department of Revenue, FY 2026 Property Tax Study
• 12 CFR 1026.38, current Closing Disclosure transaction-summary requirements
• Consumer Financial Protection Bureau, current guide to federal mortgage disclosure forms
• 765 ILCS 710, current Illinois Security Deposit Return Act

The current official outline controls the tested scope. Statutes, regulations, and official agency materials control when a general study rule and a jurisdiction-specific rule differ.