Final answer:
The correct answer is C. depreciated, which is the process businesses use to allocate the cost of tangible assets like equipment, buildings, and vehicles over their useful lives.
Step-by-step explanation:
The correct answer to the question "Equipment, buildings, and vehicles are:" is C. depreciated. Depreciation is the accounting process of allocating the cost of tangible assets over their useful lives. It is a way to recognize the wearing out, or use of, an asset over time. In contrast, amortization is used for intangible assets, depletion is for natural resources, and expenses refer to the costs incurred during a specific accounting period.
Depreciation affects physical assets like equipment, buildings, and vehicles, reflecting their decline in value due to wear and tear, age, or obsolescence. This is a non-cash expense found on the income statement, which also impacts the value of the asset on the balance sheet.