What is allocation of surplus?
and how you calculate it?

be specific,

The surplus allocation for the purposes of this paper deals with supporting insurance company operations. This is an amount necessary to cover risks such as the variation in liabilities at a point in time, as well as prepare for future needs. If Allocable Surplus in the 5th year exceeds the amount of minimum Bonus payable to the employees under Section 10, then the employer shall have to pay Bonus in excess of 8.33% and in proportion to the salary or wage earned by the employee during the accounting year subject to a maximum of 20% as provided in Section 11

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