Better Mousetraps has developed a new trap. It can go into production for an initial investment in equipment of $6 million. The equipment will be depreciated straight line over 6 years to a value of zero, but in fact it can be sold after 6 years for $500,000. The irm believes that working capital at each date must be maintained at a level of 10% of next year's forecast sales. The firm estimates oroduction costs equal to $1.50 per trap and believes that the traps can be sold for $4 each. Sales forecasts are given in the following able. The project will come to an end in 6 years, when the trap becomes technologically obsolete. The firm's tax bracket is 35\%, and he required rate of return on the project is 12%. Use the: a. What is project NPV? Note: Negative amount should be indicated by a minus sign. Do not round intermediate calculations. Enter your answer in millions rounded to 4 decimal places. b. By how much would NPV increase if the firm depreciated its investment using the 5-year MACRS schedule? Note: Do not round intermediate calculations. Enter your answer in whole dollars not in millions. 2. Real property is depreciated straight-line over 27.5 years for residential property and 39 years for nonresidential property