Kathy Purchases a One-Third Interest in the KDP Partnership from Paul

Kathy purchases a one-third interest in the KDP Partnership from Paul for $60,000. Just prior to the sale, Paul's outside and inside bases in KDP are $48,000. KDP's balance sheet includes the following:
$$\begin{array} { | l | r | r | } \hline \text { Assets: } & \text { Basis } & \text { FMV } \\\hline \text { Cash } & \$ 48,000 & \$ 48,000 \\\text { Land held tor investment } & 96,000 & 132,000 \\\hline\end{array}$$ If KDP has a §754 election in place, what is Kathy's special basis adjustment?
$$\begin{array} { | l | l | r | } \hline \text { Liabilities and Capital: } & & \\\hline \text { Capital } & \text { Paul } & 48,000 \\\hline & \text { Kristi } & 48,000 \\\hline & \text { David } & 48,000 \\\hline\end{array}$$

A) $0
B) $36,000
C) $12,000
D) None of these is correct.