Due to rapid turnover in the accounting department, the following transactions involving intangible assets were improperly recorded by Riley Co. in the year ended December 31, 2024: 

1. Riley developed a new manufacturing process early in the year, incurring research and development costs of $160,000. Of this amount, 45% was considered to be development costs that could be capitalized. Riley recorded the entire $160,000 in the Patents account and amortized it using a 15-year estimated useful life. 

2. On July 1, 2024, Riley purchased a small company and, as a result of the purchase, recorded goodwill of $400,000. Riley recorded a half year’s amortization on the goodwill in 2024 based on a 40-year useful life and credited the Goodwill account. 

3. Several years ago, Riley paid $70,000 for a license to be the exclusive Canadian distributor of a Danish beer. In 2021, Riley determined there was an impairment of $40,000 in the value of the license and recorded the loss. In 2024, because of a change in consumer tastes, the value of the license increased to $80,000. Riley recorded the $50,000 increase in the license's value by crediting Impairment Loss and debiting the License account. Management felt the company should consistently record increases and decreases in value. 

Instructions 

Assuming that Riley reports under IFRS, prepare the journal entries that are needed to correct the errors made during 2024.