Use the following three statements to answer this question: 1. Assuming PAB = 1 or PAB = -1, assuming further we know the increases of Security A, we can predict the movement of Security B with certainty. II. Generally, security returns display positive correlations with one another but they are less than one, because all securities tend not to follow the movements of the overall market. III. Any v lue of correlation less than +1 provides a possibility of diversification. a. Only II is correct b. Only III is correct O c. Only II and III are correct O d. Only I and II are correct e. Only I and III are correct