The formula is correct. A larger rotation_distance will result in less filament being extruded. If your rotation_distance is 20 and you ask the printer to extrude 20, it will send 3200 steps assuming 16 microsteps and a 1.8 degree motor. If you change rotation_distance to 40, the printer will only send 1600 steps because it now believes it only needs to make half a revolution to extrude 20mm.