d. ($40,000) loss e. No gain or loss is recognized 7. Commercial Building Inc, installed a new heating system in its building in 2017 that it reasonsthy, expected to last 20 years. To keep the system in efficient operating condition, it expects to cie a the entire system at an annual cost of $2,000. In 2022, commercial had to replace a pipe that system cleaning expense of $2,000 during the year. Commerclat build ing was reassured by the poent in manufacturer that the replacement pipe would last 20 years and that the pipe replacement a. Capitalize the entire cost of $22,000 b. Expense the entire cost of $22,000 c. Capitalize the $20,000 for the pipe replacement and expense the $2,000 for annual cleaning d. Expense the $20,000 for the pipe replacement and capitalize the $2,000 for annual cleaning e. Capitalize $11,000 and expense $11,000