Answer
The amount deductible from the home-related expenses is\[\$698\].
Work Step by Step
To calculate the deductible amount of bills, compute the ratio of the area of the office to the area of home of the taxpayer.
\[\begin{align}
& \text{Area of office}=20\text{ ft}\text{.}\times 16\text{ ft}\text{.} \\
& =320\text{ sq}\text{. ft}\text{.}
\end{align}\]
\[\begin{align}
& \frac{\text{Area of office}}{\text{Area of home}}=\frac{320}{2200} \\
& =\frac{8}{55} \\
& =0.1454
\end{align}\]
The ratio of the area of office to the area of home is\[0.1454\]. So, the deductible percentage of the utility bills is\[14.54%\]. Now, compute this percentage from the given amount of utility bills.
\[\begin{align}
& \text{Deductible amount}=14.54percent\text{ of }4800 \\
& =\frac{14.54}{100}\times 4800 \\
& =\$697.92\\&\approx\$698\end{align}\]
