1. Due to rapid turnover in the accounting department several transactions involving intangible assets were improperly recorded by Carla Vista Co. in the year ended December 31, 2021: Carla Vista developed a new manufacturing process early in the year incurring research and development costs of $165,000. Of this amount, 45% was considered to be development costs that could be capitalized. Carla Vista recorded the entire $165,000 in the Patents account and amortized it using a 15-year estimated useful life. 2 On July 1, 2021. Carla Vista purchased a small company and as a result of the purchase, recorded goodwill of $490,000 Carla Vista recorded a half-year's amortization on the goodwill in 2021 based on a 40-year useful life and credited the Goodwill account Several years ago, Carla Vista paid $74,000 for a licence to be the exclusive Canadian distributor of a Danish beer. In 2018, Carla Vista determined there was an impairment of $45,000 in the value of the licence and recorded the loss. In 2021. because of a change in consumer tastes, the value of the licence increased to $84,000. Carla Vista recorded the $55,000 increase in the licence's value by crediting Impairment Loss and debiting the Licence account Management felt the company should consistently record increases and decreases in value. 3. Assuming that Carla Vista reports under IFRS, prepare the journal entries that are needed to correct the errors made during 2021. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter for the amounts. Round answers to decimal places, eg. 5,276) No. Account Titles and Explanation Debit Credit Research Expense 1. Patents (To correct patent error.) Accumulated Amortization - Patents Amortization Expense (To correct amortization.) 2. Goodwill Amortization Expense 3. impairment Loss 10000 Licence 10000