nstalment method question

On December 15, 2006, Rigsby Sales Co. sold a tract of land that cost $3,600,000 for $4,500,000. Rigsby appropriately uses the installment sale method of accounting for this transaction. Terms called for a down payment of $500,000 with the balance in two equal annual installments payable on December 15, 2007, and December 15, 2008. Ignore interest charges. Rigsby has a December 31 year-end.

In 2006, Rigsby would recognize realized gross profit of:

		$500,000.
		$900,000.
		$ 0.
		$100,000.