Explanation:

Box 1: Yes
Change it to Direct User/Basic access level and Team privileges. This creates a security role with team member's privilege inheritance.
Note: For roles assigned to teams with Basic-level access user privilege, the role's inheritance configuration also comes into play. If the team has the Member's privilege inheritance set to Team privileges only, then the user will only be able make use of that privilege for records owned by the team.

Box 2: No
The manager of the Property Management business unit is already a member of a Fabrikam business unit, which has the root security role Box 3: Yes Reference:
https://docs.microsoft.com/en-us/power-platform/admin/security-roles-privileges