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(Common stock valuation) Dubai Metro's stock price was at S90 per share when it announced that it will cut its dividend for next year from

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(Common stock valuation) Dubai Metro's stock price was at S90 per share when it announced that it will cut its dividend for next year from $10 per share to $6 per share, with additional funds used for expansion. Prior to the dividend cut, Dubai Metro expected its dividends to grow at a 4 percent rate, but with the expansion dividends are now expected to grow at 7 percent. How do you think the announcement will affect Dubai Metro's stock price? a. What is the investor's required rate of return for Dubai Metro's stock

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