Answer:
C. The representative failed to have Tim initial by the fuel level on the Check-Out sheet.
Step-by-step explanation:
After reading the paragraph, we can eliminate B, by seeing that the representative did give him a copy of the Check-Out sheet, as quoted. "Since Tim didn’t have any questions, the clerk handed him the keys and a copy of the Check-Out sheet and wished him well.".
We can also eliminate A and D, as the contract stated nothing about dents or the oil level in the car.
The answer is C, as the representative failed to have Tim initial on the Check-Out sheet. That is a requirement for the contract to be valid, as stated. "The approximate fuel level will be recorded on the Check-Out sheet and verified with initials by the vehicle Renter.". However, Tim never initialed by the fuel level, as stated here. "...the agency representative turned on the car, took note of the fuel level, and indicated it on the Check-Out sheet. Since Tim didn’t have any questions, the clerk handed him the keys and a copy of the Check-Out sheet and wished him well.". No where here does it state that Tim initialed on the Check-Out sheet, meaning that he didn't. Him not doing so invalidates the contract.