$10$ letters are placed in $10$ addressed envelopes. Find how many ways are there such as at most three letters are not in correct envelopes.
My try:
I divided the Problem into $4$ cases:
Case $1.$ If exactly $0$ letters are not in correct envelopes implies that all are in correct envelopes which can be done in $1$ way.
Case $2.$ if Exactly one letter not in its respective envelope , number of ways is
$$ \binom{10}{1} \times \binom{9}{1} \times (D_9+D_8)$$
where $D_n$ is a derangement of length $n$
But for the final two cases, the approach is complicated.
Any better way?
You've gotten confused about the derangements. As I said in a comment, there is no way for there to be exactly one letter in the wrong envelope. What about the case of two letter in the wrong envelope? The remaining eight letters are placed in the correct envelope, so we are concerned with the number of derangements of the two wrongly-place letters. That is we have $${10\choose2}\cdot D_2=45$$ ways for this case. Do same for the case where exactly $3$ letters are not in correct position.