2 Refer to the following figure when answering the following questions. These are reported in dollars per foreign currency, so think about it carefully.Figure 20.1: Exchange RatesSUS/EEU - SUSSEUK -EUK/EEU£UK/EEUEXCHANGE RATE: 2.20SUS/EURO ANDSUS/UK POUND0.952.000.901.800.851.60EXCHANGE RATE:0.80 UK POUND/EURO1.400.751.200.701.000.652009.01YEAR(Source: Federal Reserve Economic Data, St. Louis Federal Reserve)Consider Figure 20.1. In the period 2007-2009, the eurorelative to the U.K. pound andrelative to the U.K. pound after 2011.O a. depreciated; appreciatedO b. Not enough information is given.O C. appreciated; remained somewhat unchangedO d. depreciated; remained somewhat unchangedO e. appreciated; depreciated2007.012007.072008.012008.072009.072010.012010.072011.012011.07

Exchange rate of UK/EU UK/EU measures the units of UK pound in exchange for 1 euro If there is an…

Refer to the following figure when answering the following questions. These are reported in dollars per foreign currency, so think about it carefully Figure 20.1: Exchange Rates SUS/EEU SUSEUK EUK/EEU EXCHANGE RATE: 2.20 0.95 SUS/EURO AND SUSUK POUND 2.00 0.90 1.80 0.85 EXCHANGE RATE: 0.80 UK POUND/EURO 1.60 1.40 0.75 1.20 0.70 1.00 0.65 YEAR 2007.01 2007.07 2008.01 2008.07 2009.01 2009.07 2010.01 2010.07 2011.01 2011.07