troubleshooting Question

Logical Processors in VMware

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dpmitsolutions asked on
Microsoft ApplicationsVMware
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I have an HP Proliant server with 1 processor 4 Cores and 8 Threads. I installed VMware esxi 4.1 in this server and created 3 VM's  
1) The Domain controller which I allocated 1 vCPU
2) The Application Server which I allocated 1 vCPU as well
3) The Terminal server which I allocated 4 vCPU The problem here is that the terminal server runs very slow only 5 users are using the TS with an application that is CPU hungry (Leap Accounting/Document) System.

I am also confused if I allocated the vCPU correctly.  Because on my perception the 8 hyper threads = 8 logical processor = 8 vCPU's.  Can someone shed light on my questions. Thanks in advance.        
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