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You have a bond that is selling at a premium for $1,320 and with a par...

You have a bond that is selling at a premium for $1,320 and with a par value of $1000. The bond has a 6.35% annual coupon rate and a 20-year maturity, but it can be called in 5 years at $1,067.50. Assume that the yield curve is horizontal, with rates expected to remain at current levels on into the future. Under these conditions, by how much dollars per year the bond issuer will benefit from calling the bond and issuing another one that pays a coupon rate equal to the current interest rates?

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