Company: BBD
Filing Date: 2025-03-31
Form Type: 20-F
Source: 0001292814-25-001244
Chunk: 353

Company: BANK BRADESCO
Filing Date: 2025-03-31
Form: 20-F
Item: Item 19
Chunk 353
---
period in which they are incurred.

  iii.      Depreciation  

Depreciation is recognized in the consolidated
statement of income using the straight-line basis and taking into consideration the estimated useful economic life of the assets. The
depreciable amount is the gross-carrying amount, less the estimated residual value at the end of the useful economic life. Land is not
depreciated. Useful lives and residual values are reassessed at each reporting date and adjusted, if appropriate.

  Intangible assets  

Intangible assets are composed of non-monetary
items, without physical substance that are separately identifiable. They may arise from business combinations, such as goodwill and other
intangible assets purchased in business combinations, or from other transactions, such as software licenses and the acquisition of exclusive
rights. These assets are recognized at cost. The cost of an intangible asset acquired in a business combination is its fair value on the
acquisition date. Intangible assets with finite useful lives are amortized over their estimated economic useful lives. Intangible assets
with an indefinite useful life are not amortized.

Generally, the identified intangible assets
of the Group have a definite useful life. At each reporting date, intangible assets are reviewed for indications of impairment or changes
in estimated future economic benefits - see Note 2(i) below.

  Goodwill  

Goodwill (or bargain purchase gain) arises
on the acquisition of subsidiaries, associates and joint ventures and is allocated to Cash Generating Unit (CGU) or groups of CGUs that
are expected to benefit from the synergies of the acquisitions.

Goodwill reflects the excess of the cost
of acquisition in relation to the Group’s share of the fair value of net identifiable assets or liabilities of an acquired subsidiary,
associate or joint venture on the date of acquisition. Goodwill originated from the acquisition of subsidiaries is recognized as “ Intangible
Assets”, and the goodwill from acquisition of associates and joint ventures is included in the carrying amount of the investment.
When the difference between the cost of acquisition and the Group’s share of the fair value of net identifiable assets or liabilities
is negative (bargain purchase gain), it is immediately recognized in the consolidated statement of income as a gain on the acquisition
date.

Goodwill is tested annually or whenever
a trigger event has been observed, for impairment. Gains and losses realized in the sale of an entity include consideration of the carrying
amount of goodwill relating to the entity sold.

  ii.      Software  

Software acquired by the Group