When the Exchange Rate Moves from $1 = CAD₁

Multiple Choice

When the exchange rate moves from $1 = CAD₁.5 to $1 = CAD₁.66, it implies:

A) the U.S. dollar has depreciated in relation to the Canadian dollar.
B) U.S. imports of Canadian goods will rise.
C) the dollar price of the Canadian dollar has risen.
D) the Canadian dollar has appreciated in relation to the U.S. dollar.
E) Canadian imports of U.S. goods will rise.