Local Co. has sales of $10.1 million and cost of sales of $6.2 million. Its selling, general and administrative expenses are $510,000 and its research and development is $1.4 million. It has annual depreciation charges of $1.3 million and a tax rate of 35%. a. What is Local's gross margin? b. What is Local's operating margin? c. What is Local's net profit margin? d. If Local Co. had an increase in selling expenses of $290,000, how would that affect each of its margins? a. What is Local's gross margin? Local's gross margin is 38.6 %. (Round to one decimal place.) b. What is Local's operating margin? Local's operating margin is %. (Round to one decimal place.) . (