During 2019, Peter Patel sold a piece of land he had purchased for $40,000. The buyer paid cash of $50,000 and transferred to Peter a piece of farm equipment having a fair market value of $30,000. The buyer also assumed Peter’s $10,000 loan on the land.

Peter paid selling expenses of $5,000. What is Peter's recognized gain on this sale?

a. $25,000

b. $45,000

c. $80,000

d. $90,000