The given data forms an arithmetic progression with first term \(k\) and last term \(1000k\).
Step 1: Find the median.
Since there are \(1000\) terms, the median is the average of the \(500^{\text{th}}\) and \(501^{\text{st}}\) terms:
\[
\text{Median} = \frac{500k + 501k}{2} = 500.5k.
\]
Step 2: Mean deviation about the median.
For an arithmetic progression symmetric about the median,
\[
\text{Mean deviation about median} = \frac{1}{n} \sum |x - \text{median}|.
\]
This simplifies to
\[
\text{MD} = \frac{1}{1000} \times 1000 \times \frac{1000k}{2} = 500k.
\]
Step 3: Use given condition.
Given mean deviation is \(500\),
\[
500k = 500 \Rightarrow k = 4.
\]
Thus,
\[
k^2 = 16.
\]