The Copper Mountain Group, a private equity firm headquartered in Boulder, Colorado, borrows 4,500,000 for one year at 7.875% interest.

a. What is the dollar cost of this debt if the pound depreciates from $2.0270/ to $1.9450/ over the year? ( _% Round to two decimal points )

b. What is the dollar cost of this debt if the pound appreciates from $2.0270/ to $2.1630/ over the year? ( _% Round to two decimal points )