Can someone explain how the answer for part c is 10.50% for the net profit margin?

Local Co. has sales of $10.9 million and cost of sales of $6.1 million. Its selling, general and administrative expenses are $540,000 and its research and development is $1.2 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? a. What is Local's gross margin? Local's gross margin is 44.0 %. (Round to one decimal place.) b. What is Local's operating margin? Local's operating margin is 16.1%. (Round to one decimal place.) c. What is Local's net profit margin? Local's net profit margin is 10.50 %. (Round to two decimal places.)