Refer to Table 13-1.
a. On June 4, 2012, you purchased a British pound-denominated CD by converting $1 million to pounds at a rate of 0.6435 pounds for U.S. dollars. It is now July 4, 2012. Has the U.S. dollar appreciated or depreciated in value relative to the pound?
b. Using the information in part (a), what is your gain or loss on the investment in the CD? Assume no interest was been paid on the CD.