Solution 1

Let $D$ be the foot of the altitude from $A$ to $\overline{BC}$ extended past $B$. Let $AD = x$ and $BD = y$.
Using the Pythagorean Theorem, we obtain the equations
$$\begin{align*} x^2 + y^2 = 1 \hspace{0.5cm}(1)\\ x^2 + y^2 + 2ya + a^2 = 4a^2 \hspace{0.5cm}(2)\\ x^2 + y^2 + 4ya + 4a^2 = 4 \hspace{0.5cm}(3) \end{align*}$$
Subtracting $(1)$ equation from $(2)$ and $(3)$, we get
$$\begin{align*} 2ya + a^2 = 4a^2 - 1 \hspace{0.5cm}(4)\\ 4ya + 4a^2 = 3 \hspace{0.5cm}(5) \end{align*}$$
Then, subtracting $2 \times (4)$ from $(5)$ and rearranging, we get $10a^2 = 5$, so $BC = 2a = \sqrt{2}\Rightarrow \boxed{\mathrm{(C)}}$
~greenturtle 11/28/2017

Solution 2
2002 12B AMC-23.png
Let $D$ be the foot of the median from $A$ to $\overline{BC}$, and we let $AD = BC = 2a$. Then by the Law of Cosines on $\triangle ABD, \triangle ACD$, we have
$$\begin{align*} 1^2 &= a^2 + (2a)^2 - 2(a)(2a)\cos ADB \\ 2^2 &= a^2 + (2a)^2 - 2(a)(2a)\cos ADC \end{align*}$$
Since $\cos ADC = \cos (180 - ADB) = -\cos ADB$, we can add these two equations and get
$$5 = 10a^2$$
Hence $a = \frac{1}{\sqrt{2}}$ and $BC = 2a = \sqrt{2} \Rightarrow \mathrm{(C)}$.

Solution 3
From Stewart's Theorem, we have $(2)(1/2)a(2) + (1)(1/2)a(1) = (a)(a)(a) + (1/2)a(a)(1/2)a.$ Simplifying, we get $(5/4)a^3 = (5/2)a \implies (5/4)a^2 = 5/2 \implies a^2 = 2 \implies a = \boxed{\sqrt{2}}.$
- awu2014

Solution 4 [Pappus's Median Theorem]
There is a theorem in geometry known as Pappus's Median Theorem. It states that if you have $\triangle{ABC}$, and you draw a median from point $A$ to side $BC$ (label this as $M$), then: $(AM)^2 = \dfrac{2(b^2) + 2(c^2) - (a^2)}{4}$. Note that $b$ is the length of side $\overline{AC}$, $c$ is the length of side $\overline{AB}$, and $a$ is length of side $\overline{BC}$. Let $MB = MC = x$. Then $AM = 2x$. Now, we can plug into the formula given above: $AM = 2x$, $b = 2$, $c = 1$, and $a = 2x$. After some simple algebra, we find $x = \dfrac{\sqrt{2}}{2}$. Then, $BC = \boxed{\sqrt{2}} \implies \boxed{C}$.
-Flames
Note: Pappus's Median Theorem is just a special case of Stewart's Theorem, with $m = n$. ~Puck_0

Video Solution by TheBeautyofMath
https://youtu.be/jEVMgWKQIW8
~IceMatrix