When the Sum of the External Forces and the Sum

question 27

Multiple Choice

When the sum of the external forces and the sum of the external torques on a body are both zero, we can conclude that

• A) the body is moving at constant velocity but is not rotating.
• B) the body is rotating at constant angular velocity but has no linear velocity.
• C) the body has neither linear nor angular velocity.
• D) the body may have constant linear or angular velocity, but not both simultaneously.
• E) the body may have constant linear or constant angular velocity, or both simultaneously.

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Definitions:

Risk Aversion

The reluctance of a person or entity to take risks.

Expected Returns

The projected return on an investment, taking into account both the probability and the impact of known risks.

Risky Securities

Financial instruments that carry a high degree of investment risk due to their significant exposure to market volatility.

Diversifiable Risk

The risk that a borrower will not pay theinterest and/or principal on a loan as it becomes due. Ifthe issuer defaults, investors receive less than the promised return on the bond. Default risk is influenced byboth the financial strength of the issuer and the terms ofthe bond contract, especially whether collateral has beenpledged to secure the bond. The greater the default risk,the higher the bond’s yield to maturity.