#### Answer

One nautical mile is 1.1 statute miles.

#### Work Step by Step

We can convert the angle to radians:
$\theta = 01' = (\frac{1}{60})^{\circ}(\frac{\pi~rad}{180^{\circ}}) = 0.00029~rad$
The can find the arc length $S$:
$S = \theta ~r$
$S = (0.00029~rad)(3963~mi)$
$S = 1.1~mi$
One nautical mile is 1.1 statute miles.