First, look carefully at what is drawn in the book. Twelve matchsticks are laid out to make a big square divided into four smaller squares.
Count them: 6 matchsticks lie flat (3 rows of 2) and 6 stand upright (3 columns of 2). That is 12 matchsticks. And there are 5 squares — the four small ones, and the one big square around them all.
We must end with exactly 3 squares, still using all 12 matchsticks. Three separate squares need 4 matchsticks each, and 4 + 4 + 4 = 12. So the three squares must be completely separate — no shared sides.
The three moves — do them in this order:
- Move 1. Take the flat matchstick in the top row, right-hand half (the one that runs from the top-middle corner to the top-right corner). Lay it down to the right of the top-right corner, so it points outwards.
- Move 2. Take the upright matchstick on the left side, lower half. Stand it up at the far right end of the matchstick you just laid down. This makes the right-hand side of a new square.
- Move 3. Take the flat matchstick in the bottom row, left-hand half. Lay it across to close the bottom of the new square.
Now count. Square 1 is the old top-left square. Square 2 is the old bottom-right square. Square 3 is the new one you just built on the right. That is 3 squares, and no other square is left — the big outer square is gone, because two of its sides are missing.