ocal Co. has sales of $10.1 million and cost of sales of $6.2 million. Its selling, general and administrative expenses are $470000 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?