How to embed framework into app bundle under Xcode 4?

Maybe it's a stupid question, but I really cannot get it to work.

I've 2 projects, one is an application, the other is a framework, ultimately I want a test.app bundle with the framework embedded, which used to be very easy in Xcode 3.
Here is what I've tried.
1. Add 2 projects into a workspace
2. In "Summary" page of app project, "Linked Frameworks and Libraries" panel, press '+' button and I can pick the framework target from the framework project
3. Just like in Xcode 3, I added a new "Copy File" build phase in "Build Phases" page, change "Destination" to "Frameworks"
4. Press '+' button, now only app project folder appears, and there is a framework file
5. Choose this framework file, then build the app

Then build failed with the error message "error: /Users/chen/Documents/Projects/testworkspace/testapp/testframework.framework: No such file or directory"

I went through Xcode 4 user guide and found no articles about how to embed framework.

Can anyone help?
Chen