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ahn Ince has a target capital structure of 65% common equity and 35% debt to fund its $10 billon in operating assets. Furthermore, Kahn Inc.

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ahn Ince has a target capital structure of 65% common equity and 35% debt to fund its $10 billon in operating assets. Furthermore, Kahn Inc. has a wacC of 15%6, a before-tax cost of dest of 129 . nd a tax rate of 25%. The company's retaines earnings are adequate to provide the common equity portion of its capital budpet, Its expected dividend next year (Di) is $3, and the current stock ithe is 533 . What is the company's expected gronth rate? Do not round intermediate cakculationt. Round your antwer to two decimal places. b. If the firm's net income is expected to be s1.5 blition, what porvon of as net income is the firm expected to pay out as dividenss? De not round intermediate calculations. Aound your answer to two decimal places. (hent Fefer to Fquation below.) Growth rate =(1 - havout ratio ) ol

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