1. Suppose a REIT pays out a dividend today of $5.00 and the projected dividend growth rate is 2.5%. The investor has a required rate of return/discount rate of 7.5%. According to the Gordon dividend discount model, what is the REIT's stock worth today?

2. A REIT is currently generating $200 million of rent, $100 million of net operating income, $60 million of net income and $100 million of cash flow. The REIT has 80 million shares outstanding. What is the FFO per share?

3. A REIT is currently generating $200 million of rent, $100 million of net operating income, $60 million of net income and $100 million of cash flow. According to your research, the appropriate cap rate for the REIT's assets is around 5%. What do you think is the market value of the REIT? Express your answers in millions, ie. Enter $1 million as just "1"