eBook Kahn Inc. has a target capital structure of 40% common equity and 60% debt to fund its $9 billion in operating assets. Furthermore, Kahn Inc. has a WACC of 16%, a before-tax cost of debt of 11%, and a tax rate of 25%. The company's retained earnings are adequate to provide the common equity portion of its capital budget. Its expected dividend next year (D) is $4, and the current stock price is $33, a. What is the company's expected growth rate? Do not found intermediate calculations, Hound your answer to two decimal places. b. If the firm's not income is expected to be $1.9 billion, what portion of its not income is the firm expected to pay out as dividends? Do not round Intermediate calculations. Round your answer to two decimal places, Chint: Refer to liquation below.) Growth rate (1 - Payout ratio)ROE