What is local gross margin and operating margin

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Reference no: EM131818398

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%.

a. What is Local's gross margin?

b. What is Local's operating margin?

c. What is Local's net profit margin?

Reference no: EM131818398

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