Explanation:

The squares composed of two components each are BNQM, CORN, DPSO, MQTL, NRUQ, OSVR, PFWS, QUJT, RVIU and SWHV i.e. 10 in number.

The squares composed of four components each are ABQL, BCRQ, CDSR, DEFS, LQJK, QRIJ, RSHI and SFGH i.e. 8 in number.

The squares composed of eight components each are BRJL, CSIQ and DFHR i.e. 3 in number.

The squares composed of sixteen components each are ACIK, BDHJ and CEGI i.e. 3 in number.

Thus, there are 10 + 8 + 3 + 3 = 24 squares in the figure.

Hence, option 3 is the correct answer.