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Sheridan Decor sells home decor items through three distribution chiannels-retail stores, the internet, and catalog sales. Each distribution channel is evaluated as an investment center.

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Sheridan Decor sells home decor items through three distribution chiannels-retail stores, the internet, and catalog sales. Each distribution channel is evaluated as an investment center. Selected results from the latest year are as follows: The corporate office is giving the managers of each channel the option of a customer relationship management system that will allow the managers to gather data about their customers and be more effective in their marketing efforts. The system will cost $870,000 and is expected to generate $162,000 in additional annual segment margin. Calculate the residual income of each distribution channel assuming it purchases the new customer relationship management system. (ff the residual hnoome is a loss then enter with a negative slgn precedling the number, e. 5,125 or parenthesis, eg. (5,125))

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