What is the ratio of the area of the shaded square to the area of the large square?  (The figure is drawn to scale)
[asy] draw((0,0)--(0,4)--(4,4)--(4,0)--cycle); draw((0,0)--(4,4)); draw((0,4)--(3,1)--(3,3)); draw((1,1)--(2,0)--(4,2)); fill((1,1)--(2,0)--(3,1)--(2,2)--cycle,black); [/asy]
$\text{(A)}\ \dfrac{1}{6} \qquad \text{(B)}\ \dfrac{1}{7} \qquad \text{(C)}\ \dfrac{1}{8} \qquad \text{(D)}\ \dfrac{1}{12} \qquad \text{(E)}\ \dfrac{1}{16}$
Solution 1
We can divide the large square into quarters by diagonals.
Then, in $\frac{1}{4}$ the area of the big square, the little square would have $\frac{1}{2}$ the area.
$\frac{1}{4}\times\frac{1}{2}=\frac{1}{8}=\boxed{C}$

Solution 2
Answer: C
[1998ajhsme-13-2.png](https://artofproblemsolving.com/wiki/index.php/File:1998ajhsme-13-2.png)
Divide the square into 16 smaller squares as shown. The shaded square is formed from 4 half-squares, so its area is 2. The ratio 2 to 16 is 1/8.