Dan and Dara form an equal partnership during the current year. Dan, a 50% partner, contributes cash of $100,000, and Sue, a 50% partner, contributes property (adjusted basis of $60,000, fair market value of $100,000) subject to a nonrecourse liability of $40,000. Dans basis in her partnership interest after these transactions is:

A. $0

B. $80,000

C. $100,000

D. $120,000

E. None of the Above