The camera appears to function ok when the LCD monitor is wide open but when it is moved to about 1cm from the closed position buttons such as FUNC, MENU, & DISP etc and the zoom become inoperable; the mode dial goes out of synch with the display which changes from "auto" to "video".
In other words the camera can not be fully operated with the LCD monitor in the closed position.
The LCD hinge defected.
Here is a guide to show you how to replace it.
How to fix an intermittent display LCD on Canon PowerShot S5IS
You camera needs a professional diagnostics and repair service.
The LCD screen assembly has two different position switches, may be one or both are failing (flas contacts internally).
Other possible reason for it is a false contact in the cables and connectors that attach the LCD screen to the main board.
Bottom line, if you have experience and skills in fixing electronic devices, you may want to fix it yourself. otherwise, I do recommend you to have a camera repair technician in fixing your camera.
Best regards,
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