How can you modify the PHP script to correctly count and display the number of characters in a file?

The issue can be solved by using the `file_get_contents()` function to read the contents of the file into a variable, and then using the `strlen()` function to count the number of characters in that variable. Finally, we can echo out the character count to display it to the user.

<?php
$file = 'example.txt'; // specify the file path
$content = file_get_contents($file); // read the contents of the file
$char_count = strlen($content); // count the number of characters
echo "The file $file has $char_count characters.";
?>