She was sold a carrot peeler. She didn't receive a carrot peeler.
It's not relevant what the price was: that's a decision for the shop. If they can't sell carrot peelers at a price that makes sense for them, the answer is to not sell carrot peelers, not to sell things that are described as carrot peelers but which cannot peel a carrot.
I seem to have replied at top level - I intended to reply to someone attempting to say that selling crap was ok because you should expect crap if it's cheap.
It's not relevant what the price was: that's a decision for the shop. If they can't sell carrot peelers at a price that makes sense for them, the answer is to not sell carrot peelers, not to sell things that are described as carrot peelers but which cannot peel a carrot.