Kahn Inc. has a target capital structure of 60% common equity and 40% debt to fund its $12 billion in operating assets. Furthermore, Kahn Inc. has a WACC of judget. Its expected dividend next year (D1) is $3, and the current stock price is $26. a. 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 $1.8 billion, what portion of its net income is the firm expected to pay out as divends? intermediate calculations. Round your answer to two decimal places. (Hint: Refer to Equation below.) Growth rate =(1 - Payout ratio )ROE %