The 'M' word

Ok, so I found a hole in a favorite sweater (storebought, I didn't make it). hmm. Looked closely but couldn't see anything of moth-like persuasion. Anyone know what that looks like? The sweater was washed and new holes have appeared. ok, now I need some advice. I like the wool and could frog it, reknit it and felt it. Or could felt the sweater intact and cut out pieces to make a bag or something. Any suggestions?
Suggestions on how to make sure there are no more moths about if that is what happened?
sigh.
michelle

I'll bring the jumper tonight to show you all.