Better Mousetraps has developed a new trap. It can go into production for an initial investment in

equipment of $$5\mathrm{.}7$ million. The equipment will be depreciated straight$-$line over $6$ years, but, in

fact, it can be sold after $6$ years for $$671,000.$ The firm believes that working capital at each date

must be maintained at a level of $10\%$ of next year's forecast sales. The firm estimates production

costs equal to $$1\mathrm{.}80$ per trap and believes that the traps can be sold for $$8$ each. Sales forecasts

are given in the following table. The project will come to an end in $6$ years, when the trap becomes

technologically obsolete. The firm's tax bracket is $40\%,$ and the required rate of return on the

project is $11\%.$

Suppose the firm can cut its requirements for working capital in half by using better inventory

control systems. By how much will this increase project NPV$?$

Note: Do not round your intermediate calculations. Enter your answer in millions rounded to $4$

decimal places.

Increase in NPV

million