Sergio have invested $140,000 in return of capital allocation of $141,000. the difference -$1,000, is treated as bonus, calculated as follows: Particulars Amount ($) Sergios investment 140,000 Sergios capital allocation 141,000 Bonus (140,000-141,000) -1,000 The bonus is allocated to existing partners in proportion of their profit share: Profit sharing of Tiger: Phil: Ernie = 40:20:40 How was the profit share amounts calculated