QUESTION 7 1 points Save Answer For a stock to be in equilitbrium, two conditions are necessary:(1) The stock's market price must oqual its intrinsic value as seen by the marginal investor and (2) the expected return as seen by the marginal investor must equal this investor's required return True O False QUESTION 8 1 points Save Answer Even if the correlation between the retuns on two securities is +1.0, if the securities are combined in the correct proportions,the resulting 2-asset portfolio will have less risk than either security held alone. True False QUESTION 1 points Save Answer Portfolio A has but one security, while Portfolio B has 100 securities. Because of diversification effects, we would expect Portfolio B to have the lower risk. However, it is possible for Portfolio A to be less risky True False QUESTION 10 1 points Save Answer It is possible for a firm to have a positive beta, even if the correlation between its returns and those of another firm is negative. True False