General Cars Ltd ("GCL') has developed a new material which reduces weight of its engines substantially while maintaining all the desired functionalities. While this development has costed GCL Rs 100 crores, it is expected to reduce their costs. Cost reductions will grow @ 9% p.a. over the cost reduction in the first year itself. This growth will continue for three more years after end of first year. Later, the growth rate will get stabilized @ 3% p.a. till perpetuity. GCL believe the above cost reductions will break-even their upfront development cost assuming their cost of capital of 14% p.a. What is GCL's cost reduction in the first year? [5]