The experiment has a binomial distribution just because the product could be or not defective. In this case you have n=26 the number of product that the company will check and you also know that the probability to get a defective one is 3.6%. Now we will proceed as follows, to find the probability of getting 2 or fewer defective products is exactly the same that
We also should notice that
Now,
Then the probability that the company takes 2 or fewer defective products in this batch is
Now, to get the probability that the company find 4 or more defective products we proceed as follows. Since
then
Notice that we only need to find one of these probabilities to get the answer.
Then the probability to get more than 4 defective products is
So if the company finds 5 defective products in this batch the company should stop the production because the probability to get more than 4 defective products is around 1.3%. It means that if you get 5 defective products even with this small probability then we could say that is really probable to get more defective products that those who were expected.