USA Should you capitalize LED light bulbs?

[eager to learn]

An interesting question arose this morning. Should we capitalize the cost of LED light bulbs going into our warehouse? The bulbs cost about $500 a piece and we are spending about $16,000 total. These light bulbs have a 5 year warranty and are expected to last at least that long. In the past, light bulbs would be expensed, but in this situation, should they be capitalized as a leasehold improvement and depreciated over a 5 year period?

Any input is welcomed!

 

[kirby]

Amount is significant and LEDs are known to be long lived versus old style bulbs. So yes capitalize.