Final answer:
The straight-line method of depreciation is the best method that matches revenues with expenses when revenues generated by the asset are constant over its useful life.
Step-by-step explanation:
The depreciation method that best matches revenues with expenses when revenues generated by the asset are constant over its useful life is the straight-line method of depreciation.
The straight-line method evenly spreads the cost of the asset over its useful life. This means that the same amount of depreciation expense is recognized each year, ensuring that expenses match the revenues generated by the asset. It is a simple and commonly used method of depreciation.
For example, if a machine is purchased for $10,000 with a useful life of 5 years, the annual depreciation expense would be $2,000 ($10,000 divided by 5 years). This $2,000 expense would be recognized each year, resulting in expenses that align with the revenues generated by the machine.