Images are blurred on screen. do i need to replace?

I am not sure what your camera is, however since you are in the Canon powershot A700, I will go with that.
Reasonable, not sure, but not a bad price for the camera you have. Make sure if it is not still under some kind of warranty.
Canon also had a trade-in or trade-up program for refurbished units.

Let's try some things.
Do your menus come up at all and are they clear, not the problem when you look through the lens.
If the screen shows a correct menu, then reset the menus to default. See what happens then.
If the problem still exists, then you need the camera repaired. Canon seems to have given a great price for what you are having repaired. When this is replaced, it will need re-calculation on their equipment.
They probably will check out the rest of the camera to make sure all is okay as well and to specs.
Hope it works.