P16-38 Schow Corp. has a new accounting co-op student who heard that the accounting or equity investments changes with the amount of shares held. The student needs to know the accounting differences between two different scenarios and how Soochow Corp. should record the transaction and balances if it owns different amounts of Hughes Ltd. shares as a long-term investment. Hughes Ltd. has a total of 35,000 shares outstanding. Answer the following questions for each option: 000 Compare accounting methods as share ownership percentage varies Which accounting method should be used for this long-term investment? Journal entry to record purchase of shares at $35 each. Ignore brokerage commissions. Journal entry to recognize share of $40,000 in dividends declared and paid. Journal entry to recognize $75,000 in net income declared by Hughes Ltd. Journal entry to recognize the year-end market Option 1: 3,800 shares. Option 2: 11,900 shares value of $34 per share. What is the balance in the investments account at year-end? 10.000 to acquire all the common shares of Sienna Ltd., and Sienna Tlfair market value of Sienna's net Preparing a consolidated