Acereal company says that 10 percent of all their boxes of cereals contain a prize You buy two boxes of cereal Find the probability that both boxes contain a prize?

The probability of a prize in the first box = 1/10.
The probability of a prize in the second box = 1/10.

The probability of prizes in both boxes = (1/10) x (1/10) = 1/100 = 1%