Concept:
The largest circle that can be inscribed inside a rectangle is the circle which touches all four sides of the rectangle. For such a circle, its diameter is always equal to the smaller side of the rectangle because the circle must fit completely inside the rectangle without crossing any boundary.
Step 1: Understanding the geometry of the inscribed circle.
In a rectangle, a circle can only be fully inscribed if it touches all four sides. This means the height and width both constrain the circle. Therefore, the maximum possible diameter of such a circle is limited by the smaller side of the rectangle.
Step 2: Identify the dimensions of the rectangle.
The given rectangle has:
\[
\text{Length} = 296 \, \text{cm}, \quad \text{Breadth} = 161 \, \text{cm}
\]
Since the circle must fit inside both dimensions, the limiting factor is the smaller side:
\[
\text{Diameter of circle} = \min(161, 296) = 161 \, \text{cm}
\]
Step 3: Relating diameter and radius.
The radius of the circle is:
\[
r = \frac{161}{2} = 80.5 \, \text{cm}
\]
However, for circumference calculation, we directly use diameter since:
\[
C = \pi d
\]
Step 4: Apply the formula for circumference of a circle.
The perimeter of a circle (circumference) is given by:
\[
C = 2\pi r = \pi d
\]
Substituting values:
\[
C = \frac{22}{7} \times 161
\]
Step 5: Simplify the expression carefully.
Break 161 as:
\[
161 = 7 \times 23
\]
So,
\[
C = \frac{22}{7} \times (7 \times 23)
\]
Cancel 7:
\[
C = 22 \times 23
\]
Now multiply:
\[
C = 506
\]
Final Answer: \(506\)