sir, if it is simultaneous access
$T_{avg} = h_1 T_1 + \color{red}{\underbrace{(1-h_1)}}\color{green}{\underbrace{(h_2.T2+(1-h_2).T_M}})$
So, the red color part is Miss ratio of L1 cache and Green color part is Miss penalty of L1 Cache.
Penalty is some thing we have to access extra ! (just like in case of pipelining)
if it is sequential/hierarchical access
$T_{avg} = h_1 T_1 + \color{red}{\underbrace{(1-h_1)}}\color{green}{\underbrace{(h_2.(T_1+T_2)+(1-h_2).(T_1+T_2+T_M}})$
so, at any case we have to access the $L_1$, then
==> $T_{avg} = T_1 + \color{red}{\underbrace{(1-h_1)}}\color{green}{\underbrace{((T_2)+(1-h_2).(T_M}})$
So, the red color part is Miss ratio of L1 cache and Green color part is Miss penalty of L1 Cache.
Penalty is some thing we have to access extra !