Cable subsystems characterized by one or more extremely long, slender and flexible structural elements are featured in numerous engineering systems including parachutes, suspension bridges, marine drilling risers, and aerial refueling equipment. In each one of these systems, interaction between the cable and its surrounding fluid is inevitable. However, the nature and consequences of such Fluid-Structure Interactions (FSI) have received relatively little attention in the computational mechanics open literature possibly due to an inherent complexity associated with resolution of the multiple scales present in problems of this type. This work proposes an embedded boundary approach for simulating the FSI of cable subsystems, in which the dynamics of the solid cable is captured by a discretization of the cable centerline using conventional beam elements which are typically available in commercial and open source finite element structural codes, while the geometry of the cable is represented within the fluid domain using a discrete -for instance, triangulated -embedded surface. The proposed approach is built on: master/slave kinematics between beam elements (master) and the embedded surface (slave); a highly accurate algorithm for computing the embedded surface displacement based on the beam displacement; and an energy-conserving method for transferring distributed forces and moments acting on the nodes of the discrete surface to the beam elements. Hence, both the flow-induced forces on the cable and the effect of the structural dynamic response of the cable on the nearby flow are taken into account. Moreover, the proposed model can be readily incorporated into the Eulerian computational framework, which enables handling of the large deformations of the cable subsystem. The effectiveness of the proposed approach is demonstrated using a model aerial refueling system and a challenging supersonic parachute inflation problem.