No, it doesn't very well. I just had 3 apps in the recently opened bar - safari, app store, and a tower defense game. All were "suspended" and I had 107mb memory remaining. After closing all three, my free memory immediately increased to 251mb. Yeah, I think that can make a pretty big difference in how smoothly apps run.
Your not supposed to keep checking available memory!
So what if you have 107mb of memory remaining??
If the app your using needs any more, it automatically closes another app to get it.
No need to close apps when your not using them, unless they are using a background API, like location or music playback.