Kahn Inc. has a target copital structure of 40% common equity and 60% dett to fund its $12 billon in operating assets. Furthermore, Kahn Inc. has a WACC of 14%, a before-tax cost of debt of 8%, and a tax rate of 25%. The company's retained earnings are adequate to provide the coemenon equity portion of its apital budget. Its expected dividend next year (D1) is $3, and the carrent stock price is $25. a. What is the company's expected growh 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 bilion, 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 decamal places, (1tint: Aefer to Equation below.) Growh rate =(1 - Payout ratio) 90 : W