An instructor is teaching a New York student to negotiate a traffic circle (roundabout). What should the student be told about right-of-way?

1. Traffic entering the circle has the right-of-way over vehicles already circulating
2. Traffic already in the circle has the right-of-way; yield before entering
3. The vehicle to the right always has priority, whether it is entering or circulating
4. Traffic circles have no right-of-way rule; drivers enter whenever an opening appears