First, we need to find the mass flow rate of dry material, $\dot{m}_{\mathrm{dry}}$. Since the water flow at state 3 is a mixture of $80 \%$ liquid water and $20 \%$ dry material on a mass basis, we can write:
$\dot{m}_{\mathrm{dry}} = 0.2 \dot{m}_{3}$
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