If the phone is not working because it was dropped, it will not be covered by the 1 year manufacturer's warranty as it needs to be free of physical or liquid damage: http://koo.do/JVO5Mk.
The store can still send it in for repair but there will be a cost. So the employee was probably suggesting you bring it to an independent cell phone repair shop which may cost less. You can always ask one of those repair shops for an estimate.
If repairing the phone seems too costly for you, you can then contemplate the possibility of buying a new phone with a new Tab on one of your lines.