Individual A joins a partnership with Partner B, and Individual A contributes a piece of land with a fair market value of $40,000 to the partnership. Individual A's cost basis for the land is $15,000. Three years later, the land now has a fair market value of $70,000 and is sold to an independent third party for its fair market value. Individuals A and B are equal (50%) profit partners. What is the tax treatment for Individual A?

1. Individual A has a $55,000 precontribution gainand no postcontribution gain.
2. Individual A has a $25,000 precontribution gainand a $15,000 postcontribution gain.
3. Individual A has a $35,000 precontribution gainand a $10,000 postcontribution gain.
4. Individual A has a $55,000 postcontribution gain.