ahn Inc. has a target capital structure of 50% common equity and 50% debt to fund its $9 billion in operating assets, Furthermore, Kahn Inc. has a WACC 13%, a before-tax cost of debt of 11%, and a tax rate of 25%. The company's retained earnings are adequate to provide the commion equity portion of $ capital budget. Its expected dividend next year (D1) is $4, and the current stock price is $32. What is the company's expected growth rate? Do not round intermediate calculations. Round your answer to two decimal places. % b. If the firm's net income is expected to be $1.1 billion, what portion of its net income is the firm expected to pay out as dividends? Do not round intermediate calculations, Round your answer to two decimal places. (Hint: Refer to Equation below.) Growth rate =(1 Payout ratio ) ROE