Which depreciation method writes off the value of an asset at a uniform rate throughout its usable life?

The straight-line depreciation method writes off the value of an asset at a uniform rate throughout its usable life, making it one of the simplest and most widely used methods. This approach allocates an equal amount of depreciation expense each accounting period over the useful life of the asset.

For example, if a company acquires a piece of machinery for $10,000 with an estimated useful life of 10 years and no salvage value, the company would expense $1,000 each year as depreciation. This uniform allocation allows for consistent expense recognition, making financial planning and budgeting simpler for businesses.

In contrast, other methods such as declining balance and double-declining balance depreciation accelerate the expense recognition in the earlier years of an asset's life, resulting in higher depreciation costs initially, which may not be suitable for all types of assets or business strategies. Variable depreciation is not a standard accounting term, which could lead to confusion or misinterpretation regarding its application or nature.