Final Damage = max(Adjusted - DT, Adjusted x 0.2)
http://fallout.wikia.com/wiki/Damage_Threshold
The adjusted damage is supposedly the damage dealt after DR and 'other modifiers' are accounted for. These 'other modifiers' occurs before DT reduction, which is fair enough. However, the 20% bleed through effect uses 20% of the ADJUSTED damage instead of BASE damage. What I'm asking is does the different ammunition types and their effects come under 'other modifiers'? If so then this system is a little weird.
Here's an example: if I use a weapon with 11.8 DAM with normal rounds and hollow point rounds on a target, as you increase the target's DT, hollow point will obviously hit the 20% barrier before normal rounds. In this case, hollow point would hit the barrier at around 6 DT while normal rounds will hit the barrier at 10 DT.
BUT, since the target is taking 20% of the 'adjusted dam', then if its DT>10, where both ammo types hit their barriers, overall damage from hollow type rounds is still higher than standard. This makes very little sense, because what we're effectively saying is to maximise damage when facing an opponent with very high DT, switch to hollow point again when you're normal rounds isn't sufficient: you won't pierce the DT but you'll still be doing more damage.
Is this really how the game calculate damage or have I made a mistake somewhere?