Engineering stress is determined by the formula:
\[\sigma = \frac{F}{A}\]
With given values $F = 2500 \text{ kg} \cdot 9.81 \text{ m/s}^2 = 24,525 \text{ N}$ and $A = \pi \left( \frac{d}{2} \right)^2 = \pi \left( \frac{1.25 \times 10^{-2}}{2} \right)^2 \text{ m}^2$, the calculated results are:
\[A \approx 1.227 \times 10^{-4} \text{ m}^2, \quad \sigma = \frac{24,525}{1.227 \times 10^{-4}} \approx 200 \text{ MPa}\]