Petersen Company has a capital budget of $$1\mathrm{.}0$ million. The company wants to maintain a target capital structure that is $60\%$ debt and $40\%$ equity. The company forecasts that its net income this year will be $$700,000.$ If the company follows a residual distribution model and pays all distributions as dividends, what will be its payout ratio? Round your answer to two decimal places.