Please explain.

Cloquet Company purchased 3,000 of the 10,000 outstanding shares of Felix Company's common stock for $90/share or a total of $270,000 on January 2, 2018. During 2018, Felix Company declared dividends of $40,000 in total to shareholders and reported net income for the year of $70,000, On December 31, 2018, the market value of Felix Company common stock was $91/per share If Cloquet Company does not have significant influence over Felix Company, Cloquet should show a balance in its Investment in Felix Company account (including the effect of any securities fair value adjustment for this investment) on December 31,2018 of a. $261,000 b. $270,000 $273,000 C. $279,000 d. If Cloquet Company has significant influence over Felix Company, Cloquet should show a balance in its Investment in Felix Company account on December 31, 2018 of a. $261,000 b. $270,000 c. $273,000. d. $279,000