Step 11: Select "Layer 1"

We need to select our photo once again, so click on "Layer 1" in the Layers palette to select it:

Step 12: Add An "Inner Shadow" Layer Style

We're going to finish things off by adding a bit of a shadow to our photo, which is going to give the frame even more of a 3D look to it. With "Layer 1" selected, click once again on the Layer Style dialog box at the bottom of the Layers palette:

This time, choose Inner Shadow from the list of layer styles that appears:

This brings up Photoshop's Layer Style dialog box once again, this time set to the "Inner Shadow" options in the middle column. All we need to do here is lower the Opacity of the shadow so it's not quite as intense. Lower the Opacity option down to around 65%:

Click OK to exit out of the Layer Style dialog box, and we're done!

Here, after adding a a bit of a shadow to my photo, is my final wood picture frame:

And there we have it!

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