Lance transferred land having a $180,000 FMV and a $105,000 adjusted basis, which is subject to a $150,000 mortgage in exchange for a one-third interest in the Trois Partnership. Lance acquired the land in 2002. The partnership owes no other liabilities. Lance, Rhonda, and Zach share profits and losses equally and each has an one-third interest in partnership capital. The tax effect to Lance is:

A) recognized gain of $45,000 on the transfer.

B) recognized loss of $45,000 on the transfer.

C) no gain or loss recognized.

D) recognized gain of $75,000 on the transfer.