Company: BBD
Filing Date: 2025-03-31
Form Type: 20-F
Source: 0001292814-25-001244
Chunk: 356

Company: BANK BRADESCO
Filing Date: 2025-03-31
Form: 20-F
Item: Item 19
Chunk 356
---
 tax assets)  

Assets that have an indefinite useful
life such as goodwill are not subject to amortization and are tested,
at least, annually to verify the existence of impairment.

Assets, which are subject to amortization
or depreciation, are reviewed to evaluate for impairment whenever events or changes in circumstances indicate that the carrying amount
may not be recoverable. An impairment loss is recognized based on the excess the carrying amount of the asset or the cash generating unit
(CGU) over its estimated recoverable amount. The recoverable amount of an asset or CGU is the greater of its fair value, less costs to
sell, and its value in use.

For the purpose of impairment testing,
the assets that cannot be tested individually are grouped together into the smallest group of assets that generates cash inflows from
continuing use that are largely independent of the cash inflows of other assets or CGUs. Subject to a ceiling of the operating segments,
for the purpose of goodwill impairment testing, CGUs to which goodwill has been allocated are aggregated so that the level at which impairment
testing is performed reflects the lowest level at which goodwill is monitored for internal reporting purposes.

When assessing the value in use, future
profitability based on business plans and budgets are used, and the estimated future cash flows are discounted to their present value
using a discount rate that reflects the current market conditions of the time value of money and the specific risks of the asset or CGU.

The Group’s corporate assets do
not generate separate cash inflows and are utilized by more than one CGU. Corporate assets are allocated to CGUs on a reasonable and consistent
basis and tested for impairment as part of the testing of the CGU to which the corporate asset is allocated.

Impairment losses are recognized in the
consolidated Statement of Income. Impairment losses recognized in respect of CGUs are allocated first to reduce the carrying amount of
any goodwill allocated to the CGU (or group of CGUs) and then to reduce the carrying amount of the other assets in the CGU (or group of
CGUs) on a pro rata basis.

An impairment of goodwill cannot be reversed.
With regard to other assets, an impairment loss recognized in previous periods is reassessed at each reporting date for any indications
that the impairment has decreased or no longer exists. An impairment loss will be reversed if there has been a change in the estimates
used to determine the recoverable amount or to the extent that the carrying amount of the asset does not exceed the