The circumference of a circle is (pi) x (diameter).
The circumference of this circle is 2pi, so
2 pi = (pi) x (diameter).
So the diameter of this particular circle is 2,
Its radius is 1/2 of the diameter, so radius = 1.
The reason we need to know the radius is
because it's needed to find the area.
The area of any circle is (pi) x (radius squared).
For this particular circle ...
Area = (pi) x (1 squared) = pi square units .