How do I solve this and what is the correct answer?

Residual Distribution Model Puckett Products is planning for $4 million in capital expenditures next year. Puckett's target capital structure consists of 55% debt and 45% equity. If net income next year is $3 million and Puckett follows a residual distribution policy with all distributions as dividends, what will be its dividend payout ratio? Round your answer to two decimal places