Average Number of stalls per instruction = (# misses per instruction in L1 × Hit time in L2) + (# misses per instruction in L2 × Miss penalty of L2)
2.5 memory references per instruction ⇒ 500/2.5 instructions for 500 references = 200 instructions
∴ Average number of stalls per instruction
=(50/200)×20+(20/200)×100
= 5 + 10 = 15 cycles.