True stress represents the ratio of
True stress represents the ratio of Correct Answer Instantaneous load and the instantaneous area
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Thus, true-stress lies above and to the left of the engineering curve.
The decrease in engineering stress beyond the maximum point occurs because of our definition of engineering stress. We used the original area A0 in our calculations, but this is not precise because the area continually decreases.
True stress = σt = F/A where A is the actual or instantaneous area at which the load F is applied.
True stress continues to increase after necking because, although the load required decreases, the area decreases even more, so the stress is increasing up to fracture.