Noah Construction Company is building a large complex for a contract price of $5,000,000. This is a three-year project estimated to cost $4,000,000 and the following information is available: ($ in thousands) Year 1 Year 2 Year 3 Cost incurred $1,000 $1,500 $1,250 Estimated completion costs $3,000 $1,500 $ 0 Billings $ 750 $1,750 $2,500 Cash collected $ 500 $1,500 $3,000 Using the percentage-of-completion method of revenue recognition, how much income is recognized in Year 2?

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