Use the Figure to the Right for the Next Problems

question 51

Multiple Choice

Use the figure to the right for the next problems.
A flexible rope of mass m and length L = L₁ + L₂, hangs over a frictionless peg, as shown in the figure.
-What is the change in potential energy when the end of the rope just slides off the peg?

• A) mgL
• B) mgL₁
• C) mgL₂
• D) mgL₁²/(
• E) mgL₁L₂/(

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Definitions:

Cost of Debt

The effective rate that a company pays on its borrowed funds from financial institutions or other sources.

Coupon Rate

A bond's interest rate per year, represented as a percentage of its face value.

Maturity

The date on which the principal amount of a financial instrument, such as a bond or loan, becomes due and payable.

After-Tax Cost of Debt

The net cost to a company for borrowing funds after accounting for the tax benefit derived from interest expense deductions on its corporate income tax.