Better Mousetraps has developed a new trap. It can go into production for an initial investment in equipment of $5.4 million. The equipment will be depreciated straight-line over 6 years, but, in fact, it can be sold after 6 years for $606,000. The firm believes that working capital at each date must be maintained at a level of 10% of next years forecast sales. The firm estimates production costs equal to $1.70 per trap and believes that the traps can be sold for $7 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 firms tax bracket is 40%, and the required rate of return on the project is 12%.

year: 0. 1. 2. 3. 4. 5. 6. thereafter

sales (millions of traps). 0. 0.5. 0.7. 0.9. 0.9. 0.6. 0.3. 0

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.