Hal Transferred Land Having a $160,000 FMV and a $75,000

Hal transferred land having a $160,000 FMV and a $75,000 adjusted basis which is subject to a $150,000 mortgage in exchange for a one- third interest in the HEF Partnership. Hal acquired the land ten years ago. The partnership owes no other liabilities. Hal, Ellen, and Felix share profits and losses equally and each has a one- third interest in partnership capital. Hal's basis in the one- third partnership interest is

A) $0.
B) $75,000.
C) ($25,000) .
D) $85,000.