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The MR partnership agreement provides for M to receive a 20% bonus on profits before the bonus. Remaining profits and losses are divided between M
The MR partnership agreement provides for M to receive a 20% bonus on profits before the bonus. Remaining profits and losses are divided between M and R in the ratio of 2 to 3, respectively. Which partner has a greater advantage when partnership has a profit or when it has a loss?
Profit Loss
A. M R
B. M M
C. R M
D. R R
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