CFA Practice Question

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CFA Practice Question

If 15% of the population is left-handed, what is the probability that in a randomly selected group of five people, all five people are left-handed?

A. 0.0300
B. 0.3333
C. 0.0000759
Correct Answer: C

p = 0.155 = 0.0000759

User Contributed Comments 6

User Comment
Iyal explaination?
gambary assuming the population size is so large, picking on left handed person will not affect the probabilty of picking another one. thus, each time we picku up a person is an independent event with probability of .15 . so the probability of pikcing 5 left handed ppl out of the population = .15 * .15 * .15 * .15 * .15 = .15^5
yanpz Suppose "population" is a very large number. Pick one person for 5 times. The 5 events are independent of each other, because the population is large, picking up 1 person won't affect the result of next time picking. For once, P = .15, then for 5 independent events, P = .15*.15*.15*.15*.15 = .0000759
Bevin Also, intuitively you should know that it will be a very small number.
magus How would you perform this calculation on the BA II Plus?
johntan1979 0.15 y^x 5 =
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