E. Your spouse would like to add an addition to the home.

• The home was originally purchased for $175,000.

• The addition would cost $38,000.
• You expect the addition can improve its value by 4%

1. What is the ROI (write as a percentage)? ________________
2. Is it a good idea (Yes or No, based on ROI)? ______________

******************* PLEASE ROUND ROI TO ONE (1) DECIMAL POINT ONLY********************