55 (4.37 points) Saved Joe is a sole proprietor whose filing status is single for 2021. He maintains a home that he uses exclusively and regularly as his principal place of business. Joe has Schedule C business income before the home office deduction of $75,000. The portion of his home that he uses for his office is 250 square feet. His entire home is 2,500 square feet. Joe incurred mortgage interest on his home in the amount of $11,000 and property taxes in the amount of $4,000 in 2021. Joe borrowed $550,000 to purchase his home in 2013 and has not incurred any additional debt on his home since that time. How much can Joe deduct as home office expense if he uses the simplified method? a) $12,500 b) $1,250 c) $1,500 d) Joe cannot deduct any expenses for home office e) None of the choices are correct