- 7 -
Petitioner testified that the following terminology is used
in the cattle business. Cattle are classified as calves from
birth to weaning; heifer calves being female calves. After
weaning, females are referred to as heifers or yearling heifers.
A heifer that bears a calf is thereafter a cow. Culled cows are
cows which are removed from the breeding herd because they are
suffering performance problems, such as not producing milk or not
breeding. Cows may be culled due to age.
Allocations of Partnership Items
The agreement provides in part:
Each partner's profit and loss sharing percentage is
determined annually by comparing the partner's capital
account to the aggregate of the capital accounts of all
partners in the partnership. This determination is made
based on the total capital owned, not the total capital
originally subscribed.
* * * * * * *
The amount of liabilities assumed personally by the partners
during the first year of the partnership will be based on
original subscription agreements, and will be provided by
Walter J.
* * * * * * *
All partners who originally assumed personal liability for a
portion of the partnership debt during the first year of the
partnership -- whether they are now determined to be active
or inactive partners -- will be assigned a share of the
lower amount of recognized partnership debt described above.
Each partner's share will be the exact same percentage as
his/her share of the partnership debt originally assumed.
The agreement defines active partners as those who continue
Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
Last modified: May 25, 2011