1. Wendy is a liar
Reality World website
"Wendy, meanwhile, was caught up in fall spirit and produced a line designed around a rural fall theme. While showing the clothes to a visiting Tim Gunn, the chairman of the Department of Fashion Design at the Parsons School of Design in New York City, she was also caught in the biggest fib of the early going, when she stated that her 5-year-old daughter Finley had painted a picture to give to the Project Runway judges ... only to be contradicted by an insistent Finley, who reminded her mother that she had actually painted the picture because she didn't have anything to do one day while her mother was working on her show clothes. Wendy showed the good sense not to contradict her daughter, showing that there actually were limits to her attempts at manipulation.
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Yes, while what Kara did was skiddish, I think she was smart in thinking ahead regarding the shoes. Her shoes matched the outfits. She thought about the whole look and not just the dress/outfit. Wendy was not prepared.
ETA
For the Grammy outfit challange, Wendy grabbed the orange material off the table while Kara Suan was using it

. The same color, ok, fine but the same material?

Come on Wen, be original. That's partly what this show was about.