1. John and Paul bought a house for $100. They borrowed $90 from a bank and used $10 in equity. The price of the house has declined by 30%. John and Paul plan to sell the house. They can make an investment in the house of $6 that will increase the value of the house by $10. What is their payoff if they make this investment and sell the house?

   		$4
   		$-6
   		$-30
   		$10