Excitation voltage Vin is fixed at 5 V. Default values R1=R2=R3=1000 Ω and R4=1010 Ω model a single strain gauge with about 1% resistance change.
Diamond of four resistors / Vin across the L-R nodes, voltmeter Vout across the T-B nodes / green = balanced (|Vout|<1mV), red = unbalanced
The two voltage dividers in a Wheatstone bridge split the excitation Vin in two different ratios. The output Vout appears as the difference between them.
Open-circuit output voltage (high-impedance load):
$$V_\text{out} = V_\text{in}\left(\frac{R_2}{R_1+R_2} - \frac{R_4}{R_3+R_4}\right) = V_\text{in}\,\frac{R_2 R_3 - R_1 R_4}{(R_1+R_2)(R_3+R_4)}$$Balance condition (gives Vout = 0):
$$R_1 R_4 = R_2 R_3 \quad\Longleftrightarrow\quad R_4 = \frac{R_2 R_3}{R_1}$$Strain-gauge relation (GF: gauge factor, epsilon: strain):
$$\frac{\Delta R}{R} = G_F\,\varepsilon, \quad \frac{V_\text{out}}{V_\text{in}} \approx \frac{G_F}{4}\,\varepsilon \;(\text{single-gauge})$$Near balance, Vout responds linearly to resistance change, allowing tiny displacement, temperature or strain to be measured with high precision. This is why the bridge has remained in use for over a century.