A Coin Is Tossed 20 Times

question 102

Multiple Choice

A coin is tossed 20 times. A person, who claims to have extrasensory perception, is asked to predict the outcome of each flip in advance. She predicts correctly on 14 tosses. What is the probability of being correct 14 or more times by guessing? Does this probability seem to verify her claim?

• A).4418 , yes
• B).0582 , no
• C).0582 , yes
• D).4418 , no

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Definitions:

Dividend Payment Capacity

The ability of a company to make dividend payments to its shareholders, often assessed by its free cash flow or earnings.

Non-controlling Interest

A minority share of ownership in a subsidiary that is not owned by the parent company, reflected in consolidated financial statements to show the portion of the subsidiary's earnings not attributed to the parent.

Consolidated Equity

The total equity in a consolidated financial statement, combining the parent company's and its subsidiaries' equity.

Parent Interest

Refers to the portion of equity in a subsidiary attributable directly to the parent company, excluding any minority or non-controlling interests.