TRED Inc.$\text{'}$s December $31,2017$ balance sheet showed $$22,500$ of accumulated depreciation while their December $31,2018$ balance sheet showed $$29,500$ of accumulated depreciation. Which of following is the most likely explanation?

TRED purchased $$7,000$ worth of new equipment during the year

The market value of TRED's equipment declined $$7,000$ during the year due to wear and tear

Assuming no additional assets were purchased or sold, depreciation on TRED's profit and loss statement for the year was $$7,000$

None of these are true