NE Golf has decided to sell a new line of golf clubs. The clubs will sell for $650 per set and have a variable cost of $340 per set. The company spent $250,000 for a marketing study that determined the company will sell 60,000 sets per year for seven years. The marketing study also determined that the company will lose sales of 10,000 sets of its high-priced clubs. The high-priced clubs sell at $1,100 and have variable costs of $550. The company will also increase sales of its cheap clubs by 15,000 sets. The cheap clubs sell for $300 and have variable costs of $100 per set. The fixed costs each year will be $9,000,000. The company has also spent $1,900,000 on research and development for the new clubs. The plant and equipment required will cost $18,400,000 and will be depreciated on a straight-line basis. The new clubs will also require a net working capital investment of 15% of annual sales. The tax rate is 40% and the cost of capital is 10%.

Find the depreciation