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If your Mercedes-Benz C240's fuel gauge isn't working, the first step is to make sure the fuse is intact. Locate the fuse box inside the cabin, situated under the passenger side door. Check fuse F5, a blue 15 amp fuse. Even if it appears undamaged, remove it, wait a few minutes, and reinsert it to reset the fuel gauge. Another potential issue could be a malfunctioning sender (sending unit failure), causing the gauge to display inaccurate fuel levels. Troubleshooting this is more complex. Additionally, there might be a rare scenario where the dashboard gauge itself fails, potentially indicated by erratic behavior in other gauges as well.
Typically, issues with the fuel gauge in the Mercedes C240 stem from a malfunctioning sending unit.