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The probability is determined by the binomial distribution. We consider p = probability of defect, q = probability of not defect, n = sample size, and x= number of defects in sample, in this case x=2. We calculate the probability as P(X = x) = n!/[(n-x)! x!] pxqn-x If sample size = 10 and p = 0.1 then: P(x= 2) = 10!/(8!x2!)(0.1)2(0.9)8 = 0.1937 You can find more about the binomial distribution under Wikipedia. It is important also to note the assumptions when using this distribution. It must be a random sample and the probability of defects is known.

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