Under a System of Flexible Exchange Rates, If the Price

Multiple Choice

Under a system of flexible exchange rates, if the price of the US dollar in Canadian dollars falls from $1.20 to $1.15, then:

A) the Canadian dollar has appreciated against the US dollar.
B) the Canadian dollar has depreciated against the US dollar.
C) the Canadian dollar has been devalued.
D) US goods become more expensive in Canada.