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It is known that 8% of items in a large lot are defective. Five items are randomly selected from the lot and sold to Mr. Smith. Let X denote the number of defective items among the five sold.
(a) Find the expected value and variance of X
(b) Suppose that Mr. Smith will return the defectives for repair, where C the repair cost is given by C = 2X2 + 2X + 1. Find the mean of the repair cost.
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