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

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Cullumber Decor sells home decor items through three distribution channels-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: (a) Calculate the current residual income for each distribution channel. (If the residual income is a loss then enter with a negotive sign preceding the number, eg, ? 5 , 125 or parenthesis, es. ( 5 , 125 ) ) 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 $940 , 000 and is expected to generate $169 , 000 in additional annual segment margin. Calculate the residual income of each distribution channel assuming it purchases the new customer relationship management system. (If the residual income is a loss then enter with a negative sign preceding the number, es. ? 5 , 125 or parenthesis, eg. (5,125)) Cullumber Decor sells home decor items through three distribution channels-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: (a) Calculate the current residual income for each distribution channel. (If the residual income is a loss then enter with a negotive sign preceding the number, eg, ? 5 , 125 or parenthesis, es. ( 5 , 125 ) ) 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 $940 , 000 and is expected to generate $169 , 000 in additional annual segment margin. Calculate the residual income of each distribution channel assuming it purchases the new customer relationship management system. (If the residual income is a loss then enter with a negative sign preceding the number, es. ? 5 , 125 or parenthesis, eg. (5,125))

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