You must evaluate the purchase of a proposed technology for the R&D department. The base price is $165,000 and it would cost another $27,000 to modify the equipment for special use by the firm. The equipment will be sold after 3 years for a salvage value of $50,000. The equipment will be depreciated using straight-line depreciation. The equipment requires an $8,000 increase in net operating working capital. The firms marginal tax rate is 35%. What is the annual depreciation expense?

a		38,333
b		47,333
c		47,667
d		64,000
e		45,000
f		none of the available choices