Kalpana is a student at USC studying a double degree in Business and Arts. She is studying Spanish with the Faculty of Arts and Social Sciences and recently enrolled in a Flamenco dance class. She needs dance shoes.

Kalpana loves shopping and headed for the Plaza and Myers (trading as Myers Stores Ltd). In 'Miss Shop' she found some black shoes that looked suitable. She spoke to the sales assistant saying:

"I want these shoes for Flamenco dancing. They need to be strong. Do you think they will be suitable?"

"Oh yes" said the assistant "They are made in Spain and must be OK for Spanish dancing."

With that assurance Kalpana bought the shoes, which were on sale reduced from $80.00 to $60.00.

She went on to do some browsing around the store. It was coming up to Mother's Day and she was looking for something special for her mother. She saw an ice cream maker in the homewares section on special for $60.00 and bought one. The sales assistant wrapped up one in a box, which she got from a storeroom. Her Mum loves ice cream.

Kalpana's brother, Sagar, was about to have a birthday and so she looked about for a present for him. She found a video game she thought he'd like on special for $40.00 and bought it.

The next Saturday while at dance class the heel of one shoe broke off as she attempted a 'heel stomp' step. The next day was Mother's day. Her Mother was very pleased to see the label 'ice cream maker' on the box when she opened her gift but was disappointed when she opened the box and found it was a yoghurt maker. Sunday was also Sagar's birthday and he was very happy with his video game. Unfortunately, it didn't work when he tried to play it.

Kalpana went back to Myers to return the shoes, the yoghurt maker and the video game. The store manager drew her attention to a statement on her receipts which says:

"No Refund or Exchange will be given for items on sale or on special."

Answer the following questions:

1. Do the transactions for the shoes, ice cream maker and video game fall within the operation of the Australian Consumer Law (ACL)? (6 marks)

1. Has Myer Stores Ltd breached of any implied guarantees under the ACL in relation to the shoes? (8 marks)

1. Has Myer Stores Ltd breached of any implied guarantees under the ACL in relation to the ice cream maker? (6 marks)

1. Has Myer Stores Ltd breached of any implied guarantees under the ACL in relation to the video game? (8 marks)

1. What remedies are available to Kalpana under the ACL in relation to each of the items? (8 marks)

1. What is the effect of the statement on the receipts for purchases of the three items? (4 marks)