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Cullumber Decor sells home decor items through three distribution channelsretail stores, the Internet, and catalog sales. Each distribution channel is evaluated as an investment center.

Cullumber Decor sells home decor items through three distribution channelsretail stores, the Internet, and catalog sales. Each distribution channel is evaluated as an investment center. Selected results from the latest year are as follows:

Retail Stores Internet Catalog Sales

Sales revenue

$10,140,000 $4,090,000 $3,420,000

Variable expenses

4,090,000 1,640,000 1,940,000

Direct fixed expenses

4,590,000 1,140,000 1,340,000

Average assets

8,090,000 4,090,000 1,590,000

Required rate of return

10% 10% 10%

(a)

Calculate the current residual income for each distribution channel. (If the residual income is a loss then enter with a negative sign preceding the number, e.g. -5,125 or parenthesis, e.g. (5,125).)

Residual Income

Retail

$enter a dollar amount

Online

$enter a dollar amount

Catalog

$enter a dollar amount

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