Economic practice work

Question

On Wednesday, the exchange rate between the euro and the U.S. dollar was $1.20 per euro. On Thursday, it was $1.18. Did the dollar appreciate or depreciate against the euro? By how much?

Answer 1

$ appreciated because now you need less $ to purchase the same amount of €.

Dollar appreciated by:

(1.2-1.18)/1.2 ≈ +0.016(6) ≈ +1.7%