The paragraph below comes from the rental agreement Susan signed when she opened her account at Super Video.“All rentals are due back by midnight of the due date as printed on the transaction receipt. Any rental not received by midnight on the day it is due is subject to a late charge of $1.50 for each day it is late. Any rental not returned by the fifth day after the due date will be transferred to a sale. The Customer will then be required to pay the purchase price of the item in addition to five (5) days of late fees. The Customer will not be required to return the product once the total balance is paid.”Susan went into her local Super Video to rent a movie last week. When she had made her choice, she approached the checkout counter where the clerk asked for her ID, scanned her movies and asked for $5.83. Susan gave her a $10 bill and the clerk gave her $4.17 as change as she said, “Thank you, have a good day!”. Which of the following events invalidates the contract Susan signed with Super Video?a.Susan rented the wrong movie.b.The clerk gave Susan the wrong amount of change.c.The clerk asked Susan for her ID rather than her membership card.d.The clerk completed the transaction without giving Susan a receipt or otherwise informing her of the due date.

Accepted Solution

Answer:c. Keeping the movie and paying the purchase price and late fees is the cheaper option.  Step-by-step explanation:1. If Susan takes a cab and pays late fees             Cost of cab = $10.00 Late fees = 5 × 1.50 =   7.50                    TOTAL = $17.50 2. If Susan keeps the movie Purchase price of movie = $9.99        Late fees = 5 × 1.50 =   7.50                            TOTAL = $17.49 Keeping the movie and paying the purchase price and late fees is the cheapest option. a. is wrong. Taking a cab is the more expensive option. b. is wrong. Susan contracted to return the movie, so she should try to do so.  c. is correct. This is a statement of fact, not a judgement call. d. is wrong. Susan contracted to pay the late fees if she did not return the video (but she should still return it).