Is it worth upgrading the Imac 11,2 with a 1 T SSD drive (for $200) and new ram (about $50)?

Personally I wouldn't do it because it cannot be upgraded beyond macOS High Sierra no matter what hardware upgrades you do. Much currently available software won't run on High Sierra and there are no longer security updates to Safari or to some 3rd party internet browsers.

See the following from Identify your iMac model - Apple Support

iMac (21.5-inch, Mid 2010)

Model Identifier: iMac11,2

Part Number: MC508xx/A, MC509xx/A

Newest compatible operating system: macOS High Sierra

Hey there!

Since your iMac is an older model, I'd recommend spending carefully on it. In most cases, the memory (or RAM) Apple included with these Macs is enough. It is almost always the hard disk that causes these Mac computers to run slowly.

If you were wanting to upgrade to an SSD, I'd recommend you set it up externally. That way, you aren't performing any unsupported modifications on the Mac and there's no risk of damage. Plus, you can re-use the external SSD when you upgrade to a new Mac. For your Mac, you'd need an external SSD with FireWire connectivity. Other World Computing (OWC) is the sole manufacturer that still produces FireWire drives. The OWC Mercury Elite Pro Enclosure, with the 1.0TB OWC DIY Bundle (OWC 3G SSD and NewerTech AdaptaDrive) installed in the Elite Pro would work great for your Mac.

Let us know if you're interested in this solution, and we can provide setup steps for you.

-Jack

In a word, no it is not wise. $250 will put a good dent into the cost of a new Mac Mini!