Answer
The annual depreciation is $17,200
Work Step by Step
First, find the difference between the cost price and the salvage value to find the total value that will be depreciated over the ten years:
175000-3000=172,000
Next, find the amount that will depreciate annually over the ten years by dividing this difference by 10:
$172000\div10=17200$
Thus the annual depreciation is $17,200
