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Better Mousetraps has developed a new trap. It can go intoproduction for an initial investment in equipment of $6.3 million.The equipment will be depreciated straight line over 6 years to avalue of zero, but in fact it can be sold after 6 years for$538,000. The firm believes that working capital at each date mustbe maintained at a level of 15% of next year’s forecast sales. Thefirm estimates production costs equal to $1.00 per trap andbelieves that the traps can be sold for $4 each. Sales forecastsare given in the following table. The project will come to an endin 6 years, when the trap becomes technologically obsolete. Thefirm’s tax bracket is 35%, and the required rate of return on theproject is 9%. Use the MACRS depreciation schedule.Year:0123456ThereafterSales (millions of traps)00.40.50.70.70.50.40a. What is project NPV? (Negativeamount should be indicated by a minus sign. Do not roundintermediate calculations. Enter your answer in millions rounded to4 decimal places.)b. By how much would NPV increase if the firmdepreciated its investment using the 5-year MACRS schedule?(Do not round intermediate calculations. Enter your answerin whole dollars not in millions.)