Problem $27-10$ NPV and Reducing Float

No More Books Corporation has an agreement with Floyd Bank, whereby the bank handles $$4\mathrm{.}2$ million in collections a day and requires a $$420,000$ compensating balance. No More Books is contemplating canceling the agreement and dividing its eastern region so that two other banks will handle its business. Banks A and $B$ will each handle $$2\mathrm{.}1$ million of collections a day, and each requires a compensating balance of $$220,000.$ No More Books' financial management expects that collections will be accelerated by one day if the eastern region is divided.

a$.$ What is the NPV of accepting the system? $($Do not round intermediate calculations and enter your answer in dollars, not millions of dollars, rounded to the nearest whole number, e$.$g$.,1,234,567.)$

b$.$ What will be the annual net savings? Assume that the T$-$bill rate is $21$ percent annually. $($Do not round intermediate calculations and enter your answer in dollars, not millions of dollars, rounded to the nearest whole number, e$.$g$.,1,234,567.)$

$\backslash$table$[[$a$.$ NPV$],[$b$.$ Annual net savings$]]$