7) If the interest rate in the U.S. is is = 5 percent for the next year and interest rate in the U.E %3D is e = 8 percent for the next year, uncovered IRP suggests that A) the dollar is expected to depreciate against the pound by about 3 percent. B) the pound is expected to appreciate against the dollar by about 3 percent. C) the pound is expected to depreciate against the dollar by about 3 percent and the dolla is expected to appreciate against the pound by about 3 percent. D) the pound is expected to depreciate against the dollar by about 5 percent.