Local Co. has sales of $10.5 million and cost of sales of $5.6 million. Its selling, general and administrative expenses are $550,000 and its research and development is $1.3 million. It has annual depreciation charges of $1.4 million and a tax rate of 35%.

a. What is Local's gross margin? (answer in %, Round to one decimal place.)

b. What is Local's operating margin? (answer in %, Round to one decimal place.)

c. What is Local's net profit margin? (answer in %, Round to two decimal places.)