Claire Phelps is a popular high school student who attends approximately four dances a year at her high school. Each dance requires a new dress and accessories that necessitate a financial outlay of $100 to $200 per event. Claire's parents inform her that she is "on her own" with respect to financing the dresses. After incurring a major hit to her savings for the first dance in her second year, Claire developed a different approach. She buys the dress on credit the week before the dance, wears it to the dance, and returns the dress the next week to the store for a full refund on her charge card.

Required
1. Comment on the ethics exhibited by Claire and possible consequences of her actions.
2. How does the store account for the dresses that Claire returns?