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contributions to the partnership cannot be made given the state
of BBP’s records. Thus, the evidence in the record is
insufficient to determine the partners’ relative contributions to
capital.
The second factor to consider is the partners’ interests in
the economic profits and losses of the partnership. Melvin and
Russell generally allowed each other to withdraw the profits from
the respective activity each brother primarily conducted. Both
Russell and Mr. Feldmann testified that they believed that Melvin
withdrew more money from BBP over the years than Russell did.
Russell testified that he and Melvin had a great working
relationship and that they agreed that they would report the
income and loss from BBP equally on both the partnership and
their individual income tax returns. Russell testified that the
amount of income from each activity varied because sometimes the
price of grain was good and other times the price of oil was
good. The amount of profits earned by each activity varied year
to year depending on various factors, including the market prices
for grain or oil. For the taxable years 1980 through 1994, the
evidence in the record reflects that the oil and gas activity was
more profitable overall than the farming activity during this
period. The profits and losses varied from year to year as
between the two activities, and the evidence in the record is
insufficient from which to define the partners’ interests in the
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