Territory

In an old legend about the founding of Rome, it is said that Romulus and Remus could obtain for their city as much land as a single hide from a bull would cover. Romulus and Remus came up with a trick, they cut the hide into strips and with them bounded the land for the future Rome. Suppose that the hide had the shape of a rectangle with dimensions of 4 m and 2.5 m. What largest territory in the shape of a square could they delimit with the hide if they cut it into 2.5 mm narrow strips?

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