Noah Construction Company is building a large complex for a contract price of $5,000,000. This is a three-year project and the requirements for recognizing revenue over time are met. The total estimated cost of the project is $4,000,000 and the following information is available:($ in thousands) Year 1 Year 2 Year 3Costs 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 Assuming that the conditions for revenue recognition over time were not met, which of the following entries would be made in Year 3 to record the completion and acceptance of the project?A. DR Inventory: Construction in progress $3,750,000 DR Income on long-term construction contract $1,250,000 CR Billings $5,000,000B. DR Inventory: Construction in progress $5,000,000 CR Billings $5,000,000C. DR Billings $5,000,000 CR Inventory: Construction in progress $3,750,000 CR Income on long-term construction contract $1,250,000D. DR Billings $1,250,000 CR Inventory: Construction in progress $1,250,000