Landry exchanged land with an adjusted basis of $50,000 for another parcel of land worth $35,000 plus $10,000 of cash. Landry held the original land for investment purposes and will do the same with the new parcel. Due to the exchange, Landry will recognize

A) $10,000 gain.

B) $5,000 gain.

C) $5,000 loss.

D) $0.