There was no chance that Sydney knew it was a wishing stone, as far as anyone could guess, since she was a dog. But she did have a wish.
Sydney's wish was that she could lay in Jon's soft bed whenever she wanted. Jon would often kick her out of the bed and send her to a less comfortable pillow on the floor.
As far as Jon knew, Sydney wasn't capable of higher thought. But her wish was granted just the same, because Sydney wasn't really a dog at all, but rather someone that had accidentally become a dog, using the wishing stone. And since there was a human mind involved (although currently suppressed), the wishing stone was able to grant her wish.
The stone glowed, surprising Sydney, who howled in reaction. She had no idea that she was supposed to be a human, since the mind of the dog was dominant over the mind of the human. Sydney had no idea that she was actually a human named ...