Fix my Iphone or buy another?

My Iphone 4 fell out of my back pocket today when I was going to the bathroom and fell into the toilet. It fell completely in but I took it out within seconds and dried off what I could. It seemed to have been working fine, I could still send and receive texts. I haven't made or gotten any phone calls but so far I can tell the sound is gone. I can't listen to music or hear text tones. I was able to receive a Facetime call but I couldn't hear anything. When it was ringing though, I did hear that a little, but not normally. I'm debating whether or not to put it in rice for a couple hours - 2 days. Would this help? Or will the sound adjust itself?

Added (1). I'd rather not keep my phone in rice if it won't help or if it'd be easier just to get a new phone. I have Verizon and I don't get an upgrade until next June. Do you think it'd be easy to upgrade early or get a new phone for a decent price? I don't have insurance on my phone and I have a family plan with my mom and brother if that matters. Also it's a white 8 GB.

Rice it.

There are plenty of waterproof android phones out there so you wouldnt worry water damage

for example, Sony's xperia ZR and Kyocera's Hydro line phones

You can't upgrade yet. They will not allow it. That's a year away. Your courtesy Applecare will not cover water. Lots of time and rice. Get all the moisture out of it that you can to get functionality back. Check local shops for repair estimates. Best luck.

This is the best thing that ever happened to you. Now you can dump that hunk of garbage and get a nice Android device. Like the Nexus 5. For half the price.

I've done the exact same thing, the sound is going to be completely f ucked so if i were you, buy another. My phone was okay at first but it just got worse and worse and in the end it wouldn't stop playing the text tone and the screen went blank

For your best chance to save your device…
1. Do not turn it on or try to charge
2. If possible, remove the battery
3. Contact http://www.tekdry.com/ - they have a patented process that will remove all of the water for sure - typically in about 20 minutes, without taking it apart. Best part is that you only pay if they are successful (your shipping cost may be at risk if you're not near their store). Best results are if received in the first three days and you haven't tried charging it for hours.

Hair dryers won't get into all of the nooks within your phone and it is critical to completely dry out the device.

With rice or desiccant, it takes much longer (days) and you don't know if/when your device is dry. Each time you try to power it on to find out if it is dry, you do more damage to your device. Plus while your device sits in rice for days it continues to corrode and you get rice particles inside creating more issues.

Rice (or silica gels/desiccants) does absorb water, but only when in direct contact. Rice outside of your device will not draw water from within it. So while popular to try, rice does not actually do anything to dry your device. You might think it did if your device turns on but there's likely still water inside that can continue to cause damage and many people who say rice worked later report that the phone gradually began to have problems and often eventually dies completely.