Bad Wolf Enterprises issues $1 million in 13.750% bonds maturing February 25, 2030. The bond is callable February 25, 2024 at a call premium of 7.500%. February 25, 2024 the prevailing yield is 3.500%. If Bad Wolf Enterprises calls the entire issue and replaces it with 3.500% bonds also maturing February 25, 2030 then

Each semi-annual coupon payment will decrease by _________

The present value of the decrease in coupon payments is __________

The principal repayment at maturity will increase by ___________

The present value of the increase in the principal repayment is ___________

The present value of this decision to the company - to the nearest dollar - is _________

The company should (CALL / NOT CALL) _______the bond.