Given: Balloon of radius $r$ subtends angle 60° at observer's eye O. Angle of elevation of centre C is 45°.
To prove: Height of centre = $\sqrt{2}\,r$
Construction/Setup:
Let O be the eye of the observer and C be the centre of the balloon. Draw tangents OA and OB to the balloon from O.
Since the balloon subtends an angle of 60° at O:
$$\angle AOB = 60° \implies \angle AOC = 30°$$
In right $\triangle OAC$ (OA is tangent, so $\angle OAC = 90°$):
$$\sin(\angle AOC) = \frac{AC}{OC}$$
$$\sin 30° = \frac{r}{OC}$$
$$\frac{1}{2} = \frac{r}{OC} \implies OC = 2r$$
Finding height of centre C:
Let M be the point on the ground directly below O (observer's level), and let CM be the height of C above observer's level (taken as horizontal reference). The angle of elevation of C is 45°, so:
$$\sin 45° = \frac{h}{OC}$$
where $h$ = height of centre C above the observer's eye.
$$\frac{1}{\sqrt{2}} = \frac{h}{2r}$$
$$h = \frac{2r}{\sqrt{2}} = \sqrt{2}\,r$$
Hence, the height of the centre of the balloon is $\sqrt{2}$ times its radius. $\blacksquare$
Source: Chapter 9 — Some Applications of Trigonometry, Heights and Distances
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