Congratulations to Keo Osman from Simon Balle School in Hertford, Bruno Cerda-Mendoza from Sawston Village College, Rian Sarkar from Highgate School for successfully solving this problem!
(i)
Consider the triangle , where
and
are the centres of two adjacent smaller circles.
Let angle . Since similar triangles to
can be made for each pair of adjacent circles, there are
of these triangles, all with an angle
.
Thus, . Taking one of these triangles we can split it into two right-angled triangles (as shown below).

Now considering triangle (where
is the midpoint of
and
), we see that
, as the radius of
plus the radius of one of the smaller circles.
, as the radius of one of the smaller circles. Let angle
(and by symmetry
) =
.
From the previous conditions, we get that . From our previous condition of
, we also get
.
.
.
Note that, there were other valid formulas that we accepted, but this is the official solution.
(ii)
Circle B has radius , and thus area
.
The area of each individual smaller circle is , thus their combined area is
.
It follows that
Plugging in our equation for found in part (i)
Starting with (the value of r is irrelevant here), after iterating many times you get
Plugging this back into our previous equation of yields
(if you iterate enough to find a good approximation of r).