Question: Based on the SML calculate the Expected returns for organisations A, B, and C REIT or Property Company Risk Ex Return Property Company A 0.95

Based on the SML calculate the Expected returns for organisations A, B, and C REIT or Property Company Risk Ex Return Property Company A 0.95 An individual Property Investment B 0.55 REITC 1.30 Expected return for the Property Market 1.00 14.00% Equity Risk Premium of REIT Market 1.00 7.00% Expected Return for Property Company Markets 1.00 9.00% Bond 0.00 2.50%6 Actual return 8.00% 12.25% 13.50%

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