This is/ has now become a much debated topic of contention upon which there is no general consensus. To more fully answer your question. It is required for you to submit the question again inside the text/article/sentence or paragraph you saw it or are intending to use it. A few years ago there was an English person who run an authoritative website on such matters. But eventually he gave up home and concluded that English punctuation had deteriorated so much and was badly taught nowadays: and he lost hope and closed down the website.

It depends who you ask. But since you asked me, I'll give my opinion. I think #2 sounds better. However, if the word that follows starts with "s", I would only use the apostrophe: "the goddess' spirit".

I think both of them are correct.

thank you

I think technically, grammatically speaking, number 1 is correct. But I feel most people would say number 2 in actual practice.