General Motors is thinking of investing in new production equipment, which will cost $300 million in year zero, and will generate cost savings of $180 million in year 1, $120 million in year 2, and $90 million in year 3. After three years, the salvage value is zero. The cost of capital (discount rate) is 25% for General Motors and 10% for Toyota. (Due to GM's recent bankruptcy, investors are scared to lend it money, so GM has to pay much higher interest rates to attract capital).

1) What is the NPV of this project for general motors? 2) What is the NPV of this project for Toyota? 3) Why are the two NPV's different?