General Motors (or Toyota) is thinking of investing in new production equipment, which will cost $350 million in year zero, and will generate cost savings of $210 million in year 1, $140 million in year 2, and $105 million in year 3. After 3 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). Required: a) What's the NPV of this project for General Motors? NPV = $ million (If you get say $3.52 million, enter 3.52 not 3,520,000. If you get a negative number, enter it with a minus sign, i.e., -3.52 not (3.52)) Should GM invest, based on NPV? (1=yes, 2=no) b) What's the NPV of this project for Toyota? NPV = $ million Should Toyota invest, based on NPV? (1=yes, 2=no)