Binary Distribution hits again!
The college is stating that as a class, students entering as psychology majors leave the psychology program either by transfer to another major or dropping out of school at an independent rate p of 20% (0.2).
Since the drops are independent and the rate is constant the distribution of drops follow a binomial distribution.
Calculating the odds that 30 or less students will drop (out of this cohort of 110) follows the cumulative distribution function for p = .2 ,n = 110 and k (max number of drops) = 30.
P(x<=30) = .975 (rounded to 3 significant digits)
Further research: For those interested the following link brings you to a good article on the binomial distributions and appropriate formulae for the mdf and the cdf.
https://www.itl.nist.gov/div898/handbook/eda/section3/eda366i.htm
A really detailed step by step description of how to do this can be found at the following site
http://statisticshelper.com/binomial-probability-calculator#answer
(note - select "at most X successes").