The probability of picking the first blue chip is:
P(blue) = (Number of blue chips)/(Total number of chips) = 4/(4+3+3) = 4/10 = 2/5
Since you put the chip back, the number of blue chips and the total number of chips are the same, so the probability of picking a blue chip on the second draw is also 2/5. So the probability of picking two blue chips on successive draws is:
P(2 blue) = P(blue)·P(blue) = 2/5 · 2/5 = 4/25