Lucid Technologies has a dividend payout ratio of 60% (i.e., dividends/earnings). Its capital structure is expected to remain relatively stable for the foreseable future. Lucid's most recent net income and average equity are $20m and $250m, respectively. Its average total asset level was $350m. What is Lucid's Return on Equity (ROE) and sustainable growth rate, g, respectively?

	1.	ROE = 8% and g = 4.8%
	2.	ROE = 5.7% and g = 3.20%
	3.	ROE = 5.7% and g = 2.3%
	4.	ROE = 8% and g = 3.20%