Detail please

35. Pamela owns land for investment purposes. The land is worth $450,000 (basis of $400,00 to Pamela). Pamela exchanges the land, plus $50,000 cash, for a warehouse to be used in her business. The FMV of the warehouse is $575,000, but the warehouse is subject to a mortgage of $75,000, which is assumed by Pamela. Pamela must recognize a gain of A) $0. B) $50,000. C) $125,000. D) $150,000