The given diagram represents three squares forming a right triangle. According to the Pythagorean Theorem:

$\text{Area of Square on Hypotenuse} = \text{Sum of Areas of Squares on the Legs}$

Let’s Define:

• Let Square N have a side length of a, so its area is a².
• Let Square L have a side length of b, so its area is b².
• Let Square K have a side length of c (hypotenuse), so its area is c².

By the Pythagorean Theorem:

$a^2 + b^2 = c^2$

This means that the sum of the areas of Square N and Square L is equal to the area of Square K.

Thus, the correct answer is:

✅ **Option A