The exchange rate between the U.S. dollar and the British pound starts at $1 = 0.5. It

Question:

The exchange rate between the U.S. dollar and the British pound starts at $1 = £0.5. It then changes to $1 = £0.75. Given this change, we would say that the U.S. dollar has_________ while the British pound has _____________.

a. Depreciated; appreciated.

b. Depreciated; depreciated.

c. Appreciated; depreciated.

d. Appreciated; appreciated.

Exchange Rate
The value of one currency for the purpose of conversion to another. Exchange Rate means on any day, for purposes of determining the Dollar Equivalent of any currency other than Dollars, the rate at which such currency may be exchanged into Dollars...