Fran Martin obtains a non-recourse mortgage loan for $500,000. One year later, when the outstanding balance of the mortgage is $490,000, Martin cannot make his mortgage payments and defaults on the loan. Th e lender forecloses on the loan and sells the house for $315,000. What amount is the lender entitled to claim from Martin?

A . $0.

B . $175,000.

C . $185,000.