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David and Marco are equal partners in DM partnership. David works full-time in the business and receives a $50,000 guaranteed salary from the partnership. Marco
David and Marco are equal partners in DM partnership. David works full-time in the business and receives a $50,000 guaranteed salary from the partnership. Marco is to receive the first $30,000 of profit before the remainder is divided equally between David and Marco. If the accounting income before either of these payments is $30,000, what is the amount of income or loss allocated to Marco?
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