Fadi has two credit cards.The first, a MasterCard, he gave to his secretary for purchasing office supplies for the company.The secretary used the card for personal restaurant, hotel, and gift shop debts. Fadi refuses to pay the card charges on the grounds that they were unauthorized.

The second, a Visa, was sent to him through the mail, although he never requested the card. Fadi had left the card lying on his desk. A thief stole the card and used it to purchase merchandise in several stores in Fadi's name.Visa claims Fadi is liable for the total amount of the purchases made by the thief. Fadi claims that he is not liable for any amount. Fadi's friend at college thinks Fadi might be liable for, and have to pay Visa, $50.

Regarding the MasterCard:

Was the use of the card unauthorized? [You must answer Yes or No and explain your reasoning]

Does Fadi have to pay for those charges? [You must answer Yes or No and explain your reasoning]

Regarding the Visa:

How much does Fadi have to pay Visa for the charges made on that credit card? [You must give a dollar amount and explain your reasoning]