RepoToronto

Paid in capital is year-on-year how much capital is brought into the venture.
committed capital is usually a higher number - how much the PE investor decided to invest in the first place.
In the first total return method - carrying interest is paid only when the NAV before distribution exceeds the Committed Capital. This statement in Qbank refers to that.
There was a question in the Sample 1 also related to this, if you remember.
Only when the NAV before distributions  Committed Capital - does the carrying interest portion kick in. Committed capital kind of sets the hurdle rate so that has to be exceeded before the GP gets any money from the deal.!