A proposed shopping center will provide strong competition for downtown businesses like L. S. Clothiers. If the shopping center is built, the owner of L. S. Clothiers feels it would be best to relocate to the center.
The shopping center cannot be built unless a zoning change is approved by the town council. The planning board must first make a recommendation, for or against the zoning change, to the council. A study of past decisions by the town council showed that 70% of the proposed zoning change proposals were approved by the town council, 30% were rejected. The decisions were not always consistent with the planning board recommendations. Among the proposals approved by the town council, 20% received negative recommendations from the planning board. Among the proposals rejected by town council, 10% received positive recommendations from the planning board.
The planning board has recommended against the zoning change. What is the probability that the town council will reject the zoning change?
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