Taking any side of the triangle, the sum of the two corner digits is written in one of the circles on that side, and the difference is written in the other circle.
As you move down, the numbers represent multiples of 12, subtracting 1, for the first step, adding 2 for the second, subtracting 3 for the third, adding 4 for the next etc. etc.
Reading each horizontal line as a 4 digit number, add together the top two rows to give the result in the third row, and subtract the first row number from the second to give the result in the fourth row.
The numbers in the segments of the top left circle equal the sum of the numbers in corresponding segments of the lower two circles, and the numbers in the top right circle equal the difference between numbers in corresponding segments of the lower two circles.
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