Kathleen received land as a gift from her grandfather. At the time of the gift, the land had a FMV of $85,000 and an adjusted basis of $110,000 to Kathleen's grandfather. The grandfather did not have any gift taxes due. One year later, Kathleen sold the land for $80,000. What was her gain or (loss) on this transaction?

A. no gain or loss

B. ($5,000)

C. $5,000

D. 30,000

E. None of the above