At the end of 2023, TechWave Inc, with one subsidiary, had a holding representing 20% of the equity of Sun Ltd, a clean energy company. It had cost $82,000 when purchased at the start of 2022. At the time of that investment, Sun Ltd had net assets of $700,000 which increased to $950,000 by the end of that year. At the start of the current year, the investment was increased by a further 14% of the equity at a cost of $120,000.

(a) How would the investment be shown in the financial statements if it were treated as a trade investment? (b) How would the investment be shown in the financial statements if it were treated as an associated undertaking? (c) Assess the impact on TechWave Inc's profitability if Sun Ltd reports higher than expected earnings.