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Local Co. has sales of $10.7 million and cost of sales of $5.5 million. Its selling, general and administrative expenses are $450,000 and its
Local Co. has sales of $10.7 million and cost of sales of $5.5 million. Its selling, general and administrative expenses are $450,000 and its research and development is $1.4 million. It has annual depreciation charges of $1.4 million and a tax rate of 25%. a. What is Local's gross margin? b. What is Local's operating margin? c. What is Local's net profit margin?
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The image presents a company Local Co with the following financial information Sales 107 million Cost of sales 55 million Selling general and administrative expenses 450000 Research and development 14 ...
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Fundamentals of Corporate Finance
Authors: Berk, DeMarzo, Harford
2nd edition
132148234, 978-0132148238
