How would that affect each of its? margins

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Local Co. has sales of $10.0 million and cost of sales of $6.0 million. Its? selling, general and administrative expenses are $500,000 and its research and development is $1.0 million. It has annual depreciation charges of $1.0 million and a tax rate of 35%. ?Local's gross margin is 40.00?%, its operating margin is 15.00 ?%, and its net profit margin is 9.75?%. If Local Co. had interest expense of $800,000?, how would that affect each of its? margins?

?Local's new gross margin is _______%,

new operating margin is ______?%,

and new net profit margin is _____%.

Reference no: EM131854315

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