Dropped My iPod, Now I have a Gray Screen But Still Syncs

Hello,

I stupidly tossed my 2nd Gen. Ipod on the couch to deal with an emergency and it landed flat on the couch but bounced and landed flat on the wood floor. The screen went fuzzy and white first, with random colored lines. After this pressing the power or home button results in a faint gray screen for 7-8 seconds. Connected to a PC and it still syncs. I reset it and updated the software before I thought to play some music or anything on it so I really can't tell if the touch screen works or if it will play sounds. I restored it twice just to see what would happen. The Ipod makes the "charging" or "connection" sound but still only a brief gray screen. After telling it to back up my settings I get a bright 5-10 second white screen when goes blank while it restarts again.

I get the gray screen when I touch the home button, the power button (which doesn't deem to actually depress much but it may never have; i usually keep it on), or when it's syncing.

I really need to fix this quickly and cheaply if possible because I have a special needs son who loves it and he recently lost my wife's 4th gen touch so I started letting him use mine. It won't be possible to explain that it's broken and it will upset him for a long time until he forgets about it. I haven't found a cheap solution to just replace it, unfortunately. Don't know what to do and any help would be appreciated.