Given 3 masses ($M_1, M_2, M_3$) connected linearly with 2 springs ($K_1,K_2$), let $X_1,X_2,X_3$ be the displacement of the masses relative to their rest positions. Using the Lagrangian I can write down the following equations of motion:
$$M_1\ddot{X_1}+K_1X_1-K_1X_2=0$$
$$M_2\ddot{X_2}-K_1X_1+(K_1+K_2)X_2-K_2X_3=0$$
$$M_3\ddot{X_3}-K_2X_2+K_2X_3=0$$
I then rewrite this in matrix form using the following matrices:
$$M:=\begin{bmatrix}M_1 & 0 & 0\\0 & M_2 & 0 \\ 0 & 0 & M_3\end{bmatrix} $$
$$K:=\begin{bmatrix}K_1 & -K_1 & 0\\-K_1 & M_1+M_2 & -K_2 \\ 0 & -K_2 & K_2\end{bmatrix}$$
$$M\ddot{\vec{X}}+ K\vec X = 0$$
The site says to use the following equation: However I believe it is wrong.
$$K=\lambda M $$
Solving for the eigenvaleus or $\lambda$:
$$ M_1= M_2 =M_3=4Kg$$
$$ K_1 = 3 \frac Nm, K_2 = 7 \frac Nm $$
$$ \lambda = \begin{bmatrix}.75 & -.75 & 0\\-.75 & 2.5 & -1.75 \\ 0 & -1.75 & 1.75\end{bmatrix}$$
So the resonant frequencies are: .75, 2.5, and 1.75 $\frac{m}{s^2}$? I don't think so $\frac{m}{s^2}$ = acceleration!
John from Physics.SE answered this questions, but moderators there deleted his beautiful answer. He substituted $X(t)=Ae^{\omega stuff}$ into the K matrix and then solved for $\omega$, or the resonant frequencies.
You have some confusion about units. You wind up with the generalized eigenvalue problem
$$(K-\omega^2 M)X=0$$
where $\omega^2$ is the generalized eigenvalue. This is NOT the problem $K=\omega^2M$; this would assume that $\omega^2$ is a generalized eigenvalue of full multiplicity. Also, for this to make sense, $K$ and $\omega^2 M$ must have the same units. Since $M$ has units of mass and $K$ has units of force/length=mass/time^2, that implies $\omega^2$ has units of time^{-2}, as expected.
One can convert this generalized problem into an ordinary eigenvalue problem by multiplying through on the left by $M^{-1}$, since $M$ is always invertible. The result is the ordinary eigenvalue problem
$$M^{-1}KX=\omega^2X$$
for the matrix $M^{-1}K$.