Princess Foods Corporation purchases glass containers from China for the packaging of their high-end soups. These shipments come to Princess Foods Corporation in skids that were transported across the Pacific Ocean in giant shipping containers. When glass jars are shipped internationally, a small degree of defects is inevitable.

Liwei has negotiated a deal with the vendor that an overall defect rate of 5% is acceptable. If more than 5% of the jars on a given skid are defective, Princess Foods Corporation does not have to pay for that shipment. If the defects are greater than 5%, that shipment is returned (at the shipper's expense).

Liwei: There's a possibility of an increase in demand and therefore production. Will we need more glass jars?

Bonnie: Can you take a look? I've noticed that the work that you're doing here seems to take the guess work out of things and...I really respect that. I'd love to hear your thoughts.

If 12 samples of product are randomly selected and tested, what is the probability of the following:

1. Exactly one samples are defective

2. Between two and five inclusive are defective

3. Less than three are defective

Please interpret data and provide a theoretical explanation- In other words, what do the results mean to Liwei and Bonnie?