1. **State the problem:** Simplify the expression $3x^3 + 2 - x(5xy^2)(-\frac{1}{5}x)$.\n\n2. **Recall the rules:** When multiplying terms with the same base, add exponents: $x^a \cdot x^b = x^{a+b}$. Also, multiplication is associative and distributive over addition.\n\n3. **Simplify inside the parentheses:** Multiply $5xy^2$ and $-\frac{1}{5}x$.\n$$5xy^2 \cdot -\frac{1}{5}x = -\frac{5}{5} x \cdot x \cdot y^2 = -1 \cdot x^{1+1} y^2 = -x^2 y^2$$\n\n4. **Substitute back:** The expression becomes\n$$3x^3 + 2 - x \cdot (-x^2 y^2)$$\n\n5. **Multiply $x$ and $-x^2 y^2$:**\n$$x \cdot (-x^2 y^2) = -x^{1+2} y^2 = -x^3 y^2$$\n\n6. **Note the minus sign before the product:**\n$$3x^3 + 2 - (-x^3 y^2) = 3x^3 + 2 + x^3 y^2$$\n\n7. **Final simplified expression:**\n$$3x^3 + 2 + x^3 y^2$$